Yeo Hiap Seng

Yeo Hiap Seng: CIMB has an unrated report. The house note that the Yeo’s brand has significant latent potential that has not been tapped because of the company’s focus on property development. However, its land bank is almost depleted now and Yeo Hiap Seng (YHS) is on the verge of becoming a pure F&B player again. Overall, think that there is a possibility that Far East Organization, YHS‟s major shareholder, will privatise the company to facilitate its sale to a strategic buyer. The other alternative is to maintain the status quo and reallocate resources to develop the F&B brands.