Financial Performance of the Skylark Company - Essay Example

The paper "Financial Performance of the Skylark Company" is a good example of an essay on finance and accounting. Skylark Co. Ltd operates a wider range of housekeeping and table service restaurants. The Skylark Company is of a Japanese origin founded in 1962 and based in Japan.  By August 31st, 2014, the company’s long-term business objectives had managed to acquire 3,005 restaurants in Japan and internationally.  This company is also involved in the sales and planning of goods sold in the restaurants, transportation of food products and restaurant cleaning. The provision of a wider range of hotel and restaurant products has maximized the profit margins of Skylark Co. Ltd. This research paper provides an overview of Skylark Co. Ltd.  Additionally, it explains the future expectations of this company, whether its future predicts booms or bumps in its business operations.

Conducted a number of roadshows that were aimed at promoting its operations in order to capture a wider customer base planned for $987 million (Morgan n.p). These roadshows provided diversification in the goods and services offered by the Skylark Company. Additionally, this company ventured into three breweries as an anchor investment in the roadshows business promotions.  Suntory Beers and Spirits, Asahi breweries and Karim holdings pledged 4.9 billion yen, 4.1 billion yen and 4 billion yen respectively in the Skylark at the IPO price. This boosted the shareholder’s capacity in this company, and the shareholder's index moved to 94% in secondary indexing and 6% in the primary share indexing (Morgan n.p). The Bain capital acquired by Skylark Co. Ltd was at $ 2.1 billion in 2011. This divested a third of this company’s stake, which remained a major shareholder in the Japanese money market and banks. Currently, the Skylark Company owns about 186 million shares of the restaurant chain operator. This company also plans to sell 23.3 million shares to the international institutional investors and about 45.5 million shares in the domestic market tranche (Morgan n.p).   

The future of the Skylark Company is enshrined in the merger and conglomeration of this company’s’ products. This company plans on venturing into the international manufacturing of beverages and venturing into food distribution services. It also plans of merging with Japanese industrial partners, which will boost its sales by an additional 2%. According to the current Skylark management team, a combination of this company and two private equity firms will boost its sales to about 66.5 million shares (Morgan n.p). This enrollment of shares indexing will boost this company’s secondary tranche by an extra 7 million shares in the near future. The primary shares on offer will also be increased to a total of 4.1 million.

In summary, this company’s price as per now is at the bottom of the range at $690. In the progress, the company’s price is expected to rise as it plans on highly competitive sales of its shares.  This company’s recruitment marketing range through a competitive sale of its shares would be above the earlier minimum indicative price. The plans for this recruitment marketing system would rise to a minimum of $2 billion. Lastly, the company plans to adopt strict growth policies to curb the weak IPO performances.