ASX:GYG
Guzman Y Gomez Ltd
Investment Summary
The fund managers believe that Guzman Y Gomez Ltd's IPO was a strategic opportunity, as evidenced by its share price climbing to 24% above the initial offer within the month. In their opinion, the top-tier management team and strong unit economics are critical factors driving their investment. They highlight a rapid payback period for franchisees, which is likely to fuel ongoing demand for new franchises. Furthermore, the fund managers see significant optionality for expansion into new regions and concepts, enhancing the company's growth potential. Overall, they express optimism about the long-term prospects for Guzman Y Gomez Ltd.
Commentary From The Managers
Blackwattle Investment Partners
30 June 2024
$24.83
- Guzman y Gomez IPO’d on June 20 at $22 and closed the month up 24%
- Blackwattle Investment Partners continues to hold due to a top-tier management team
- Strong unit economics are being delivered by the company
- This drives a very rapid payback period for franchisees
- Expected to support ongoing demand for new franchises
- Significant optionality for the business with potential expansion into new regions and concepts
Please note: The completeness, accuracy or current status of the investments referenced are not guaranteed.