Venture into Australia through JV and Potential Franchise<\/u><\/em><\/strong><\/p>\nA joint venture company (\u201cJV Company\u201d), which is 49% owned by TJI and 51% owned by ST Group, has been established and the JV Company will be granted the master franchise rights to operate restaurants and associated delivery services under one of the Group\u2019s brands in Australia and New Zealand. In addition, the JV Company will be able to enter into further sub-franchise agreements with other partners to facilitate the Group\u2019s expansion. TJI also retains the right to open and operate self-operated restaurants in the two countries under the TamJai Yunnan Mixian (\u8b5a\u4ed4\u96f2\u5357\u7c73\u7dda) and TamJai SamGor Mixian (\u8b5a\u4ed4\u4e09\u54e5\u7c73\u7dda) brands.<\/p>\n
Listed on the Singapore Exchange in 2019, ST Group is an established food and beverage (\u201cF&B\u201d) group headquartered in Australia. It holds the exclusive franchise and licence rights to a diversified portfolio of nine internationally popular brands, including \u201cIPPUDO\u201d, \u201cGong Cha\u201d, \u201cPappaRich\u201d, \u201cNeNe Chicken\u201d, \u201cHokkaido Baked Cheese Tart\u201d, etc, with a network of 173 outlets across Australia, New Zealand, and the United Kingdom.<\/p>\n
ST Group has a proven track record in the F&B markets in Australia, New Zealand and the United Kingdom. By leveraging its solid infrastructure and local know-how, TJI will be able to enter the Australian market at lower initial investment and set up costs, along with reduced risks. ST Group\u2019s expertise in supply chain management, central kitchen and logistics support, identification of restaurant premises and locations, local government liaison and licensing, regulatory compliances, as well as people management, will be instrumental in TJI\u2019s successful entry. The adoption of JV and franchising arrangements will also enable the Group to promote a more scalable business model for rapid expansion and market penetration through ST Group\u2019s established franchise network.<\/p>\n
Potential Franchise in the Philippines<\/u><\/em><\/strong><\/p>\nIn August 2023, the Group entered into a memorandum of understanding and heads of terms with BVCUISINE Inc. (\u201cBVCUISINE\u201d), a subsidiary of the Philippine conglomerate, Suyen Corporation, in relation to the proposed entry into the Philippine market by way of a franchise arrangement. The Group will grant an exclusive license to BVCUISINE to set up and operate restaurants under the Group\u2019s brands in the Philippines.<\/p>\n
Suyen Corporation is a Philippine conglomerate that has a strong presence in the fashion and retail sector. It also operates business in the F&B industry, managing the Philippine operations of the Japanese chains \u201cMarugame Udon\u201d, \u201cMaisen\u201d and \u201cSt. Marc Cafe\u201d, as well as other brands such as \u201cPatchi\u201d and \u201cPaul Boulangerie\u201d.<\/p>\n
Mr. Daren Lau, Chairman, Executive Director and Chief Executive Officer of Tam Jai International<\/strong>, said, \u201cBuilding upon our investment and the development of a strengthened management team over the past year, we are thrilled to embark on an exciting new chapter for TJI with the introduction of a franchising model as we enter the inaugural Western market, Australia, and the Philippines. In particular, our JV partnership with ST Group, an experienced franchised F&B operator in Australia, not only paves the way for a successful and expedited expansion in Australia, but also establishes a strong foundation for future ventures into other Western markets, propelling our mission to bring \u2018Tam Jai Taste\u2019 to the world.\u201d[\/vc_column_text][\/vc_column][\/vc_row]\n