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4 Ways No Signboard Holdings Ltd Can Grow in the Years Ahead

No Signboard Holdings Ltd is set to be the newest company to be listed on Singapore’s stock market. In its initial public offering (IPO) prospectus, the company highlighted four ways it would be trying to grow its business.

In a previous article, I looked at two of the company’s growth plans, namely, to establish a new restaurant chain, and to develop its beer business. In this article, let’s dive into the next two growth plans.

Expansion of its ready meal business

Right now, No Signboard Holdings offers No Signboard Seafood-inspired dishes such as chilli crab spaghetti, Hokkien mee, and nasi briyani under the ready meal business.

The company intends to expand its ready meal business by selling the meals at vending machines and through other distribution channels. The company wants to cater for today’s busy consumers, who it believes are willing to pay for convenience. No Signboard Holdings plans to scale up its ready meal business in 2018 and offer a broader range of prepared meals to complement its restaurant business.

The company has identified Ma2 Shop as a partner for the sale of ready meals through vending machines. Ma2 Shop, which runs a network of vending machines in Singapore, is majority owned by No Signboard Holdings’ controlling shareholder, GuGong. (GuGong is controlled by No Signboard Holdings’ executive directors, the brothers Sam Lim and Lim Lay Hoon.) No Signboard Holdings may also consider other distribution channels, such as supermarkets, retail outlets and other vending machine operators, in the future.

The company intends to use around S$2 million from its IPO net proceeds for the production of its ready meals through its outsourcing partner, a leading provider of food solutions in the region.

Expand its business through franchising, acquisitions, joint ventures or strategic alliances

Lastly, No Signboard Holdings may expand its restaurant business overseas through a franchising model. The company is particularly interested in China and other Asian countries.

No Signboard Holdings is also looking at expanding its business in Singapore or overseas through acquisitions, joint ventures, and/or strategic alliances with relevant parties.

To learn more about No Signboard Holdings’ IPO, you can head here.

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The information provided is for general information purposes only and is not intended to be personalised investment or financial advice. Motley Fool Singapore contributor Sudhan P doesn’t own shares in any companies mentioned.