Thai Union, Mitsubishi form joint shrimp farm
Thai Union Frozen Products has agreed to form a joint venture with Mitsubishi Corp. to establish a shrimp farming business, Thai Union said in a statement this week.
The company’s board of directors met on 17 December to approve the deal, which will have a shareholding structure of 51-49 percent, with Thai Union holding the majority.
The deal will involve incorporating TMAC Co. as a holding company to operate the new business. TMAC will function as a subsidiary of Thai Union.
“This implementation will help the company not only to leverage the use of its feeds and baby shrimps but also to improve the quality and success of its feeds and hatchery business development, which will enable the company to complete its end-to end upstream and downstream business,” Thai Union said in a statement.
Mitsubishi, according to the Thai Union statement, shares the same mission statement, and also wants to expand its own shrimp business.
TMAC’s registered capital at incorporation will be listed as THB 560 million (USD 18.3 million, EUR 13.9 million), but new financing is expected to increase that to THB 900 million (USD 29.4 million, EUR 22.3 million).