With this regulatory change, JFC is now able to accommodate more foreign investors, a move expected to provide additional capital for its aggressive global expansion. Prior to the amendment, JFC’s foreign ownership stood at 23.54% as of December 2024.
“This could provide some positive boost for the company,” said Unicapital Securities Inc. equity analyst Jeri Alfonso. “Having no nationality cap gives them a lot of headroom in case they need to get sizable foreign equity capital for their expansion.”
Under the 1987 Philippine Constitution, corporations that own land must be at least 60% Filipino-owned. By removing real estate holdings from its portfolio, JFC is now free from these restrictions, making its shares more attractive to foreign investors.
JFC has been aggressively expanding its international footprint, aiming for equal revenue contributions from local and overseas operations. At present, its revenue split stands at 61% domestic and 39% international. The company has bolstered its presence in key markets through strategic acquisitions, including:
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Tim Ho Wan – A full acquisition of the renowned Hong Kong-based dim sum chain for SGD 20.2 million.
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Compose Coffee – A $340 million deal to acquire the South Korean coffee chain.
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Milkshop International – The acquisition of a 70% stake in Taiwan’s wellness soup brand Moon Moon Food for NT$103.8 million.
These acquisitions align with JFC’s strategy to strengthen its position in the global quick-service and specialty dining segments.
JFC’s financial growth remains robust, with its net income surging by 24.1% to P8.47 billion in the first nine months of 2024. Revenue also expanded by 10.6% to P196.25 billion, driven by gains in its Philippine market and international coffee brands. The company’s store network grew by 42.8% to 9,598 locations globally, including:
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3,340 stores in the Philippines
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568 in China
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381 in North America
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362 across Europe, the Middle East, Africa, and Asia
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815 under Highlands Coffee
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1,219 under The Coffee Bean & Tea Leaf
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333 under Milksha
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2,580 under Compose Coffee
Following the announcement, JFC shares surged 10.72% to P262.40 apiece, outpacing the benchmark Philippine Stock Exchange index’s 1.14% gain. Analysts view this development as a catalyst for further stock appreciation, particularly as JFC continues its international expansion. The company has also maintained regular dividend distributions, providing an additional consideration for investors.
“The removal of the ownership restriction paves the way for JFC to attract more foreign equity participation,” said China Bank Capital Corp. Managing Director Juan Paolo Colet. “This aligns with JFC’s ambition to be a leading player in the global restaurant industry.”
With its foreign ownership cap lifted, JFC is well-positioned to attract strategic foreign investments that will fuel its growth. The company remains focused on expanding its brand portfolio and increasing its footprint in key international markets. As JFC continues to scale its operations, it is poised to strengthen its status as a dominant global food service brand.