Restaurant operator Tai Tong Food & Beverage Group (TTFB, 瓦城泰統集團) has decided to set up a NT$300 million (US$10.29 million) subsidiary for future business expansion, the company said in a filing with the Taiwan Stock Exchange.
The plan to launch the 100-percent owned subsidiary came after the company’s board on Oct. 18 approved the management team’s proposal to embark on an expansion in China next year, the filing said.
TTFB is the operator of three restaurant chains — Thai Town Cuisine (瓦城泰式料理), Very Thai Restaurant (非常泰) and 1010 Hunan Cuisine (1010湘辣料理) — and has more than 40 outlets in Taiwan.
The company is targeting China’s eastern region for its overseas debut through the new subsidiary, the filing said.
When the restaurant operator debuted its shares on the GRETAI Securities Market on Sept. 17, chairman Charles Hsu (徐承義) said that the group was scheduled to launch its first Thai Town Cuisine outlet in China in the first half of next year.
In addition, TTFB also plans to set up its fourth cuisine chain in the first quarter of next year and aims to boost its number of outlets to 70 by the end of next year. By 2014, the restaurant operator hopes to become a global food-and-beverage giant with 100 outlet, Hsu said.
TTFB’s shares closed unchanged at NT$177.5 yesterday, outperforming the GRETAI’s 0.12 percent decline. The stock has dropped 19.32 percent from its listing price of NT$220 on Sept. 17, stock exchange data showed.
Additional reporting by Amy Su