Waka-Waka Froyo

Famous Brands have announced a relatively small transaction this morning, but for many well to do Joburgers, Durbanites and Capetonians, even the lovely folks of Port Elizabeth and Bloemfontein will know the frozen yoghurt franchise Wakaberry. Frozen yoghurt is perceptually healthier and perhaps even tastier than Ice Cream. Depending of course on the size of the cup that you choose and depending of course on the toppings that you put on your frozen yoghurt, that may not be entirely true. I have been only once to the store in Lonehill and enjoyed it immensely, I can't say whether I felt better for having chosen the "healthier" option or not. Currently all food that falls in the "junk" category is banned from the menu, courtesy of my lent decisions. Sigh. Sad but true.


The quantum of the transaction, for a 70 percent stake in a business founded by husband and wife (Ken and Michele Fourie) as well as a fellow by the name of David Clark. It was established in Durban, May 2011 and currently has 33 outlets, looking for over 40 by the end of the year, with "new opportunities" and "coming soon" franchises in places like Parkhurst, Blouberg, Richards Bay, Kimberly as well as Midrand and East London. They (the website) calls it the Froyo (Frozen yoghurt) culture. And whilst we were originally singing, badly I might add, that Shakira slash Freshly Ground World Cup anthem, believe it or not the name of the shops/brands were actually inspired by that very song.


This is of course classic Famous Brands. Not too dissimilar to Warren Buffett really, finding a family run smaller franchise opportunity with the recent examples being Vovo Telo, Tashas and Giramundo, keep them in the business and grow the base with the folks passionate about the brand keeping their best business practices each and every day. Also, as the company points out, they look for new categories and the market leader. Kevin Hedderwick in the release: Tip of the iceberg as Famous Brands enters joint venture with Wakaberry^TM Frozen Yoghurt Bar says that Wakaberry has the ability to become a "Superbrand" in this country. Good. We continue to add to the stock where we see fit, the quality remains. Ironically, for a company with such amazing brand footprint, the market cap is 10.3 billion Rand. That puts them in the ranking tables alongside Oceana and Murray & Roberts. But I guess with Adcock Ingram, who is now smaller than Famous Brands, it is bigger than I thought!