Jollibee's Korean Hot Pot Bet: A Pre-IPO Power Play

When Jollibee Foods announced its acquisition of Korean hot pot chain All Day Fresh on Monday, it wasn't just buying another restaurant brand. The Philippine fast-food giant was making a calculated bet on its upcoming 2027 US IPO—and rewriting its playbook for international expansion.

From Diaspora to Local Domination

For decades, Jollibee's international strategy was simple: follow Filipino communities abroad. The company built its 1,500-store overseas network primarily in areas with large Filipino populations, serving comfort food to homesick migrants.

But acquiring All Day Fresh represents a fundamental shift. Instead of transplanting Filipino flavors, Jollibee is now buying local expertise. Korean hot pot is about as far from sweet-style spaghetti as you can get, yet that's precisely the point. The company is diversifying beyond its core identity.

The Korean hot pot market, worth an estimated $1.8 billion annually, has been growing steadily thanks to health-conscious consumers and the rise of single-person households. For Jollibee, it's uncharted culinary territory—but potentially lucrative real estate.

The IPO Imperative

This acquisition makes perfect sense when viewed through the lens of Jollibee's planned US listing next year. American investors love growth stories, but they're skeptical of single-brand dependencies. By adding Korean hot pot to its portfolio alongside Filipino fast food, the company can pitch itself as a diversified Asian restaurant platform rather than just a regional chicken chain.

Timing matters too. With global private equity firms like Bain Capital aggressively acquiring Asian restaurant chains, Jollibee is choosing to be the acquirer rather than the acquired. It's a defensive move disguised as offensive expansion.

Winners and Losers

Korean consumers might benefit from Jollibee's operational expertise and deeper pockets for expansion. The company knows how to scale restaurant operations across diverse markets—a skill that could accelerate All Day Fresh's growth.

Existing Korean hot pot chains, however, face a new reality: competing against a brand backed by Southeast Asian restaurant expertise and soon-to-be US capital market access. Local players will need to up their game or risk being outmaneuvered by a more systematized competitor.

For Jollibee shareholders, the question is execution. The company has succeeded by understanding Filipino tastes deeply. Can it replicate that cultural intuition in Korea's notoriously demanding food market?