KIDO convenes extraordinary shareholder meeting on Celano and Merino brands
Báo Tuổi Trẻ•11/12/2024
In the resolution announced on December 10, KIDO stated that the brands and trademarks Celano and Merino are currently owned and managed by the group.
In 2024, KIDO's profits will be affected by the restructuring of the company's business model and product lines, as well as the impact of market fluctuations - Photo: N.BINH
The Board of Directors of KIDO Group (HOSE: KDC) has just decided to convene an extraordinary general meeting of shareholders to seek opinions regarding the Celano and Merino ice cream brands. According to the resolution announced on December 10, KIDO stated that the Celano and Merino brands are currently owned and directly managed by the group. Notably, the Celano brand has been transferred all industrial property rights from KIDO Frozen Food Company Limited (Kido Foods) to KIDO under Decision No. 126465/QD-SHTT dated December 28, 2023. This information attracts attention because Celano and Merino have long been associated with the Kido Foods brand - a unit that KIDO no longer controls after the transfer of shares. In September 2024, Nutifood completed the acquisition of 51% of shares in Kido Foods, officially becoming the controlling unit of this company. KIDO currently holds only 49% of shares in Kido Foods. KIDO's transfer of ownership of the Celano and Merino brands to the group can be understood as a strategic move to protect brand value in the context of changing the shareholder structure at Kido Foods. In the upcoming extraordinary shareholder meeting, in addition to the content related to the Celano and Merino brands, KIDO leaders plan to submit additional opinions on the transaction of selling shares in Kido Foods that the group previously conducted. The meeting is scheduled to be held on January 24, 2025 with the last registration date being December 30, 2024.
The announcement also contains notable information: "While waiting for the decision from the general meeting of shareholders , all activities related to the Celano and Merino brands must be approved or authorized by the owner." Kido Foods was formed in 2003 from a transaction to acquire the Wall's ice cream factory, then launched two famous brands, Merino in 2004 and Celano in 2005. This is also considered the "golden goose" of this enterprise until it was sold. This extraordinary general meeting of shareholders is expected to strongly affect KIDO's business strategy in 2025, especially in the context of fierce competition in the food and consumer industry in Vietnam. In 2024, KIDO sets a target of VND 13,000 billion in revenue and VND 800 billion in pre-tax profit. However, in the first 9 months of the year, KIDO recorded a revenue of only VND 5,980 billion, down 13%. Pre-tax profit reached VND 70 billion, while after-tax profit was VND 54 billion, down 92% compared to the same period in 2023. Thus, after 9 months, this enterprise has only completed 46% of the revenue plan and 8.7% of the profit plan. Regarding the financial situation, as of September 30, 2024, KIDO's total assets reached VND 12,447 billion, a slight increase compared to the beginning of the year.
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