Twenty years ago, Famous Brands (then known as Steers) was beginning its upwards trajectory of fundamental earnings growth as well as share price. Its model of expansion was predominantly by acquisition, and this kept on producing enviable results – until it ran out of road in SA and went one step beyond, buying Gourmet Burger Kitchen (GBK) in the UK in 2016.

Anthony Clark, independent analyst at Small Talk Daily, is scathing about the ill-timed GBK transaction and believes that Famous Brands overpaid in its desperation to chase growth outside of the stagnant SA market...