A Business Acquisition Case on Jollibee Foods Corporation’s Purchase of Mang Inasal

Abstract

This case is about the largest quick-service restaurant (QSR) conglomerate in the Philippines, Jollibee Foods Corporation (JFC), acquiring its fastest growing competitor Mang Inasal (MI). At a time when MI was on its best trajectory toward expansion and financial growth, its CEO, Edgar Sia, sold 70% of the company to the market leader for P3 billion in 2010 and the remaining 30% of the stake for P2 billion in 2016—whopping amounts which, in the eyes of JFC Management, were reasonable enough to fully acquire a highly prized company. Organizing information drawn from public sources, the author wrote this case to encourage intellectual discourse among students and professors of business as they critically analyse the acquisition decision, both from the standpoint of MI and JFC.