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9 Tweets 112 reads Feb 27, 2023

HK's Dairy Farm Int’l (DFI), which owns Giant will exit the Malaysian grocery industry after 24yrs
It sold its stake to MacroValue S/B for “at least a couple of billions of MYR”.
Story 👇
- Giant’s history
- its royalty owner
- Giant financials
- new owners
- Jaya Grocer

DFI entered MY in 1999 by purchasing 90% stake in GCH Retail S/B, then-operated by the Teng family (more on the family later).
GCH before this deal was owned:
70% by DFI,
30% by Syarikat Pesaka Antah S/B, co linked to N9 royalty

With 2.5k staff, GCH operates:
40 Giants
8 Mercatos
2 Cold Storages
1 TMC
40 Giant mini stores
It has been aggressively shutting down stores in 2019, now less than half in 2021
DFI will remain in the retail business - it operates Guardian, with more than 500 outlets

GCH been in. the red from 2014-19, turned a profit in 2020, back to loss in 2021 again.
Biz been declining since 2017 (revenue/loss)
2017: RM4.61b / -RM235.8 mil
2021: RM2.38 b / -RM106.2 mil
A billion buck hole on balance sheet
Total Liabilities>Total Assets by RM1.48 bil

*Chup**
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MacroValue who?
50% owned by USP Resources S/B, controlled by Andrew Lim, deputy chairman of Sogo Dept. Store S/B. Lim said this investment is in his own personal capacity
50% owned by Gyap Holdings S.B, controlled by Gary Yap, said to be behind Euro Deli Shop

What it got to do with Jaya Grocer?
After Giant, the Teng family went on to start Jaya Grocer, which Grab acquired in Dec 2021, deal said to be worth RM1.8 bil
Hero Market is also owned by one of the Tengs
Teng’s 4th act?
BERJaya Grocer with Vincent Tan - just kidding