Dennise Williams, Staff Reporter
CHEN
WAYNE CHEN, chairman and chief executive officer of Super Plus Food Stores, says his company is consolidating its operations as a first step towards becoming a listed entity on the Jamaica Stock Exchange (JSE).
Super Plus Food Stores was created on November 1, 1992 from the merger of five supermarkets individually owned by members of the Chen family.
The company now has 39 wholesale and retail outlets, employs over 2,000 and does over $10 billion in sales per month.
"Right now, the Super Plus group is comprised of holding companies held by the seven siblings. And so, we are working to be a part of one corporate structure," he said.
CONSOLIDATION
The Chen family remains the owners of the group. Vincent and Gloria Chen who started out in retailing four decades ago are now retired, but eight of their nine children carry on the family tradition. The only sibling not involved in the business is Michael Lee-Chin.
"Listing on the Jamaica Stock Exchange (JSE) is something that we have always had in the back of our minds. In fact, we are putting all the measures in place to act as a publicly-listed company," Mr. Chen said. "The first step is to consolidate our operations."
NO FINANCIAL BIND
He informed the Financial Gleaner on Wednesday that contrary to rumours, his company is not in a financial bind and not selling off its Trafalgar Road, Portmore or Ocho Rios properties.
"We were recently offered $300 million for our Trafalgar Road Super Plus store. We turned it down."
Mr. Chen said persons are confusing the consolidation with a need for cash.
"None of our buildings are for sale. We are in business for the long haul. We feel that our investment in Jamaica will grow exponentially. So, I don't know where these stories come from. We have a multi-billion dollar property portfolio that we may add to or dispose from. But that is part of the ordinary course of business."
As to any operating cash required, Mr. Chen stated, "Our cash needs will be met by commercial bank borrowing."
That said, investors should not expect Superplus to be listed in the near future.
"We are very mindful of the substantial discount that the stock market demands right now," he said.
The stock market has experienced a steep decline so far this year following a mixed performance last year.
Some of the current price levels on the market were "foolishness" he said.
"Right now the market conditions for us to be a listed company is not right."
