Financial Analysis of Fraser and Neave

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Date Submitted: 11/25/2012 12:56 AM

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|Fraser and Neave |

|Financial Analysis Report |

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Table of Contents

Table of Contents 2

1. Executive Summary 4

2 Company Background 4

3 SWOT & Financial Analysis 5

3.1 SWOT Analysis 5

3.1.1 Strength 5

3.1.2 Weakness 5

3.1.3 Threat 5

3.1.4 Opportunity 5

3.2 Financial Analysis 6

3.2.1 Does F&N’s multi-business strategy improve the performance of the company? 6

3.2.2 Does F&N’s international expansion and acquisition strategy improve the performance of the company? 8

3.2.3 How effective is F&N’s R&D developing new soft drinks and dairy products, with respond to the increasing awareness over soft drinks? 8

3.2.4 Does F&N’s fast growth increase its risk in fulfilling its short-term and long-term obligations? 9

3.2.5 Does F&N’s international expansion increase its foreign exchange rate risk? 11

3.2.6 Should F&N sell its publishing/printing business due to its weak performance? 12

3.2.7 What is the impact of the expiry of licensing agreement with Coca-cola and Kirin investment on F&N’s future performance? 12

3.2.8 How does the strong demand in Singapore property market influence F&N’s business? 13

4. WACC Assessment 14

4.1 Capital structure of F&N 14

4.2 Cost of Capital 14

4.3 Cost of Debt 15

4.4 Value of WACC 15

5 Conclusion 16

6 References 16...