Thread by @MartinMataga

Welcome to On a Date with a listed company on the Zimbabwe Stock Exchange (ZSE).

Dating is a critical stage to any investor considering to take a position on any asset class even shares.

THREAD: On a Date with Simbisa Brands (SIM)

#1. History,

1987, A young entrepreneur Zinona Zed Koudounaris opens his first quick service restaurant (QSR) Chicken Inn in Harare.

1989, Andrews Foods supplies a small confectionary upstart retail shop Baker's Inn with bakery products.

1991, Baker's Inn starts its own bakery operations in Chitungwiza.

1994, Another bakery operation is commissioned in Bulawayo with expansion of the bread plant in Harare.

1995, Nando's franchise for Zimbabwe is bought and a store is opened in Avondale.

1998, Capri Corporation a struggling electronics appliance manufacturer is acquired by Innscor Africa.

The acquisition enable the reverse listing of Innscor on the ZSE with the delisting of Capri Corporation.

Innscor Africa is an investment holding company.

Innscor Africa is developing a portfolio of assets in fine, casual, QSR and bakery.

1999, Steers franchise is acquired and a store is opened in Harare.

2011, Consolidation of the Harare bakery operations into one plant and purchase of Galito's franchise.

2013, franchised Chicken Inn, Pizza Inn, Creamy Inn and Galito's outlets opened in Swaziland, Lesotho and DRC.

2015, Innscor Africa spans off its quick service restaurants assets into a separate business Simbisa Brands.

Simbisa Brands is listed on the ZSE.

#2. Operations,

Simbisa Brands is an African focused business that operates owned and franchised brands in

Casual dining
Fine dining
QSR

And

Bakery operations.

+524 outlets are operated and +3 bread plants in (Zimbabwe and Zambia) as at 30 June 2021.

#3. Brands

Owned Brands

° Chicken Inn
° Pizza Inn
° Creamy Inn
° Baker's Inn
° Fish Inn
° Kutuma (delivery service business in Kenya)

Franchised Brands

° Galito's
° Nando's
° Steers
° Ocean Basket
° Vida E Caffe
° Spur
° Rocomamas
° The Grill Shack

#4. Markets

Simbisa Brands operates in 9 countries,

Zimbabwe
Kenya
Zambia
Mauritius
Ghana
Nambia
DRC
Swaziland
Malawi

Nambia and DRC markets are operated through a franchising model

Zimbabwe is the largest market by income and coverage with Kenya behind

#5. Competitors,

Simbisa Brands is in a fiercely competitive market however it has managed to build a competitive advantage through

Pricing

Locations

Multiple offering (holds master franchise for unique brands)

Delivery services

Promotional campaigns

Slice Distributors

The business that operates Chicken Slice, Pizza Slice and Cream Slice.

Barcelos

A South African based franchise business started by Costa Mazzis who mentored Benson Muneri the operator of Hotplate Grill.

KFC
Mambo's Chicken
Eat n Lick

#6. Management,

Basil Dionisio - Group CEO

An experienced executive who has been with the business from its inception.

Accredited with expanding the business into new regional markets and offering.

A shareholder by his own right.

#7. Share Price

299.93 ZWL per share as at April 14,

90.00 ZWL per share on the 4th of January,

233% gained from the start of the year

3rd on the ZSE ranking.

14th most traded stock on the ZSE in the past 3 months to April 14.

562,184,788 shares issued.

#8. Shareholding,

18.29% of Simbisa Brands is controlled by an investment vehicle owned by the founder of Innscor Africa, Zinona Koudounaris

#9. Pitch

The business is on an expansion drive across multiple markets with a huge budget to open new stores.

Market share in Zimbabwe and Kenya are higher than other rivals even international ones such as KFC.

The Kutuma delivery services business.

Benefits from being part of the Innscor Africa ecosystem of businesses which are complementary.

The trailer concept is another innovative model being used by Simbisa to gauge market demand and offer services in any area.

Innbucks is another innovative service with multiple advantages which if fully exploited can generate additional revenues.

Ability to earn its own foreign currency to facilitate imports needed in operations.

A highly liquid stock which

Each week will be on a DATE with a company listed on the ZSE.

The purpose of this thread is to have a minimum appreciation of listed firms.

Disclaimer: Do not misconstrue this thread as investment advise DATE companies before you buy its shares.