Emperador aims to expand market share in China, US

July 15, 2022

Emperador Inc., a global whisky and brandy conglomerate headquartered in the Philippines and owning some of the world’s most iconic liquor brands, becomes the first PSE-primary listed company to conduct a secondary listing on the Main Board of the Singapore Exchange Securities Trading Limited (SGX-ST). Leading the historic milestone for Emperador, Inc. were (from left to right): George Schulze, Dalmore Whisky Expert in Asia, Emperador Inc.; Bryan Donaghey, Head of Whisky Business, Emperador Inc. and CEO of Whyte and Mackay; Loh Boon Chye, CEO, SGX; Dr. Andrew L. Tan, Chairman Emperador Inc.; Gerard Ho, Singapore Ambassador to the Philippines; and Kevin L. Tan, CEO of Alliance Global Group, Inc., the holding company of Emperador Inc.

Singapore–Emperador Inc., the liquor firm led by businessman Andrew L. Tan, wants to conquer the world by expanding its market share in the two economic superpowers—China and the United States.

The company is targeting to generate more than half of its revenues from outside the Philippines by 2025.

On Thursday, Emperador became the first company primarily listed on the Philippine Stock Exchange (PSE) to conduct a secondary listing on the Singapore Exchange Securities Trading Ltd. (SGX). The company listed by way of introduction which means that no additional shares were sold to the public. All of its shares will remain in the Philippines.

The Campos family’s Del Monte Pacific Ltd. is also a Filipino dual-listed company but its main listing is on SGX.

Emperador’s stock closed at S$0.45, up from its opening price of S$0.435. It traded under the ticker symbol “EMI”.

At the PSE, the company’s shares closed at P18.10 apiece, 3 percent higher than its previous close.

Its stock price for now will mirror that of the PSE.

Trading of EMI’s shares on the SGX is subject to a of 0.6 percent stock transaction tax to the Philippine Bureau of Internal Revenue based on the gross selling price or gross value in money of the shares sold. The gross selling price refers to the total amount of money or its equivalent which the purchaser pays the seller as consideration for the shares.

This set up will remain for now as Emperador officials said the company has no plans yet of raising funds from the Singapore platform through a new share sale.

Company officials said the listing broadens Emperador’s ability to tap other international investors who want to buy a part of the company.

“This is truly a milestone for Emperador. And it reinforced the globalization of Emperador,” said company chairman Andrew Tan.

Loh Boon Chye, SGX CEO, said it will be up for Emperador to track its own journey at the Singapore Exchange on how it will make its fund raising activities. The listing, he said, opened a lot of opportunities as the company will gain a bigger investor base.

“You have chartered a sustainable growth path because of the resilience of your business and iconic brand portfolio.”

Kevin Andrew Tan, the company’s director, said its Chinese expansion will complete the company’s plans of setting up a global liquor empire.

“We do want to complete our portfolio in other categories. At Emperador, we hope to be able to conquer the world of single malt and Spanish brandy,” the younger Tan said, adding that they have always set their sights on expanding in China.

Bryan Donaghey, head of whisky business of Emperador and CEO of Whyte and Mackay, said the Chinese and US markets will be an important part of the company’s revenue expansion as Emperador dreams of becoming one of the global liquor firms like London-based Diageo and French firm Pernod Ricard.

Of Emperador’s revenues, foreign markets account for around 30 percent to 40 percent. The company wants to see the figure go up to 50 percent by 2025.

“We’ve grown strongly in Asia, in the last 5 years. We’ve probably increased our Asia Pacific business by multiples of 10; and a lot of that is in greater China. And will continue to grow… So I don’t have a number in my head about what proportion will be China, but it’s one of our target markets alongside the US. But I expect to grow in Europe as well. And I expect to grow in Canada, and I expect to grow around the world,” Donaghey said.

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