The acquirer, Muginoho Global, is a wholly-owned subsidiary of Muginoho Holdings. Headquartered in Japan, Muginoho owns a portfolio of pastry and confectionery brands such as Beard Papa’s and Cocofrans.
CGS-CIMB Research analysts Kenneth Tan and Ong Khang Chuen have kept their “hold” call on Kimly at an unchanged target price of 41 cents after the company announced the divestment of its confectionary business.
On Sept 9, Kimly entered into a business transfer agreement with Muginoho Global for the complete disposal of Rive Gauche Patisserie. Initially acquired by Kimly together with Tonkichi for $1.82 million in Jul 2018, Rive Gauche is involved in the operation of French-inspired confectionery outlets. As at end-March, Kimly operated seven Rive Gauche outlets.
