Banking on KLIA2
Looking into Retail/ Consumer industry in our local KLCI, one cannot dismiss the famous few which has been the household brand for many. Recent interest and push to have some hold on these stocks have allowed the usual calm industry to be snapped and push to high. Even the low profile of YEELEE and SPRITZR have been catching the lime light. Though, I am much interested with the recent big hoo-haa issue of our delayed of beloved 2nd low cost airport, KLIA2.
One will not stop imagining the like of MAHB as the main stock to look for, but I am more alike of two, WCT and BRAHIMS. So, what's the hot of these two? WCT will be managing the property of those in the airport. Likely to say, malls and retailer lots will be in joint venture of WCT and MAHB. An interesting question will be, how will the traffic like in the new airport in the coming future?
If you like AASIA much, then you will know they have a high anticipation on the volume generated for this piece of wonders. With more and more self service required in order to be a frill-free flyer, you may bet off the time required to be spent in the airport. A longer catchment time will indeed a good excuse to invest in a good retailing experience. The current low cost airport retail experience is totally down the drain. Imagine the rental and crowd; that will be your answer for WCT.
Now, second to most, mostly will be BRAHIMS and one must ask, what does this airline caterer to do in a low cost airport when AASIA manipulate all the required source of income when to deal with low cost airline? For those who are aware of BRAHIMS, she is famed as an airline caterer and as well the one behind a well diversified companies. Owning 2 eatery outlet in current LCCT may sounds little but being one of the outlet as the best performing shop in LCCT year long will amazed you. How much cash is generated? Imagine big, shall you?
In the coming KLIA2, BRAHIMS will own 2 food court and yes, it is food court, which cater to a larger catchment strategy. One might argue on improved selection in an enlarged KLIA2, but one cannot dismiss a better and improved outlook for the company. It is up to personal judgement on this business growth prediction.
I have featured 2 charts for your own preview.
