Thai integrator, Charoen Pokphand Foods (CPF) is setting its sights on increasing sales from its overseas operations in Cambodia, Russia and Malaysia by 40% in five years time, a 13% increase on its current status.
It will spend about 1.25 million baht to increase its CP operations in these three countries says CPF president and chief executive Adirek Sripratak.
“CPF will spend 500 million baht to acquire 1,475 newly issued ordinary shares at US $11,03 per share, in CP Cambodia Co (CPC) manufacturer of animal feed and meat products, increasing CPF’s shares in CPC to 25% of paid-up capital.”
In addition, as part of its investment increasing CPF’s capital in two companies in Russia; Charoen Pokphand Foods (Overseas) has increased its capital holdings, worth 429 million roubles (Baht 444 million) and 60 million roubles in CPF Agro, to facilitate expansion of its animal farms.
In another move to increase its stake in overseas subsidiaries, the Charoen Pokphand Group has allowed its Hong Kong-based subsidiary, CP Pokphand, to buy a 70.8% stake in CP Vietnam Livestock Corp. The purchase price is to be determined as an adjusted multiple of the target’s net income that would be paid with an issue of new stock and convertible shares.
(By Joyce Rainat)