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Country Style Cooking Restaurant Chain (NYSE:CCSC), a China based quick service restaurant priced its IPO on 27th September 2010 at $16.50 per ADS above its expected range of $14 - $16 per ADS, generating a first day return of 47.3%.

Business Overview (from prospectus)

We are a quick service restaurant chain in China. We offer delicious, everyday Chinese food to customers who desire fast and affordable quality meals. Our restaurant chain grew from 9 restaurants as of January 1, 2008 to 101 restaurants as of June 30, 2010, including 56 restaurants in Chongqing municipality and 31 restaurants in Sichuan province. We are the largest quick service restaurant chain in Chongqing municipality in terms of the number of restaurants as of March 31, 2010 and total sales in 2009, according to Euromonitor International, or Euromonitor, an independent market research firm, and we have a strong presence in Sichuan province. Chongqing municipality and Sichuan province cover a region of 110 million people in Southwest China that is home to Sichuan cuisine, one of the best-known Chinese regional cuisines. We directly operate all of our restaurants for effective quality control and operating efficiency. We plan to further expand our geographic coverage and increase our chain to over 130 restaurants in China by the end of 2010.

Offering: 5 million ADS at $16.50 per ADS. Net proceeds of approximately $40.1 million will be used to open new restaurants and approximately $13.4 million for improving and expanding logistic infrastructure.

Lead Underwriters: BofA Merrill Lynch (NYSE:BAC), Credit Suisse (NYSE:CS)

Financial Highlights:

Revenues increased by RMB114.1 million ($16.8 million), or 53.7%, from RMB212.3 million for the six months ended June 30, 2009 to RMB326.4 ($48.1 million) for the six months ended June 30, 2010...Cost of food and paper increased by 49.5% from RMB103.6 million in the six months ended June 30, 2009 to RMB154.9 million ($22.8 million) in the six months ended June 30, 2010...Restaurant rental expenses increased by 70.2% from RMB16.6 million in the six months ended June 30, 2009 to RMB28.3 million ($4.2 million) in the six months ended June 30, 2010...Selling, general and administrative expenses increased by 156.4% from RMB5.3 million in the six months ended June 30, 2009 to RMB13.5 million ($2.0 million) in the six months ended June 30, 2010...Net income increased by 36.8% from RMB20.3 million for the six months ended June 30, 2009 to RMB27.7 million ($4.1 million) for the six months ended June 30, 2010...

Competitors

The quick service segment of the consumer food services industry in China is highly competitive and fragmented. In addition, we compete against other segments of the consumer food services industry, including in particular casual dining restaurants. The number, size and strength of competitors varies by region. All of these restaurants compete based on a number of factors, including taste, quickness of service, value, name recognition, restaurant location and customer service quality. Competition within the quick service restaurant segment, however, focuses primarily on price, taste, quality and the freshness of the menu items and the ambiance and condition of each restaurant. We compete with national and regional quick service restaurants, including foreign competitors such as McDonald’s (NYSE:MCD), KFC and Yoshinoya and various domestic competitors. We are the largest quick service restaurant chain in Chongqing municipality in terms of the number of restaurants as of March 31, 2010 and total sales in 2009, according to Euromonitor, and we have a strong presence in Sichuan province. Our market presence in other cities is less significant but we believe that we can compete effectively in our targeted geographic markets.

Additional Resources:

Source: Country Style Cooking Restaurant Chain Prices IPO Above Range