Taste Holdings told the market last week that it would sell off its crown jewels, in a move that many saw as a way of appeasing an investment community that struggled to see the link between a Fish & Chip Co franchise and a Hublot watch that was probably worth about half of the business. The luxury goods division, made up of Arthur Kaplan Jewellers, NWJ and World's Finest Watches, is being spun off in order to focus management's attention on the fast-food business. "A recent strategic review by the board has concluded that the group should concentrate future investments and management efforts on rapidly growing the food business, where returns are high and opportunities abound," the company said.This is very interesting and rather courageous on the part of CEO Carlo Gonzaga and his team, since the temptation could easily have been to stick to luxury goods. In its 2016 annual results, the luxury business grew revenue 79% year on year and delivered just under R70-million before tax an...
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