CP Foods’ Thai subsidiary formalizes Uoriki joint venture, plans for initial public offering
CPF Global Food Solution Public Company Limited (CPFGS), a subsidiary of Bangkok, Thailand-based Charoen Pokphand Foods (CPF) focused on distribution of fresh and processed food products in Thailand, is going public.
The IPO, revealed in a 12 April filing with the Stock Exchange of Thailand, will see the issuance of 500 million shares of CPFGS at a par value of THB 0.50 (USD 0.02, EUR 0.01) per share. CPF and C.P. Merchandising Company Limited will retain a 70 percent shareholding in the company.
In May 2022, CPFGS signed a memorandum of understanding with Uoriki Co., Japan’s leading fish retailer, to import more premium fish products from Japan to Thailand. According to a 12 April disclosure, CPFGS will retain 60 percent ownership in the JV, which has a registered capital of THB 200 million (USD 5.9 million, EUR 5.4 million), while Uoriki will have a 40 percent share.
Uoriki President Masayuki Yamada said the JV will import seasonally available fish bought directly from fishermen in Japan and worldwide.
“The tradition supports farmers by buying fish directly from them for price stability. It also promotes seasonal fish and stabilizes the balance of nature as each fish has ample time to grow,” Yamada said in a press release. “The joint venture will bring fresh seafood from Japan to Thai consumers, giving them an access to fresh, clean, and delicious fish from Sea of Japan. They will learn about the traditional way to eat sushi, particularly maguro or Japanese tuna. The sushi, frozen or chilled, is maintained under temperature control from the point of production to transportation, to assure Thai consumers of [its] freshness.”
The JV plans to open its first retail outlet in August 2023 inside Bangkok’s Lotus Sukhumvit 50 mall. Three more CP-Uoriki outlets will open by the end of 2023 and the JV plans to operate 20 retail stores by 2024, each offering chilled and frozen seafood, sushi, sashimi, maki, and processed seafood products.
"CP-Uoriki synergizes CPFGS’s strength in distribution with almost 100 years of Uoriki’s mastery in fresh fish and seafood. Through the combined strengths, Thai consumers can experience premium fish and seafood without flying to Japan, in line with our sustainability goal. And we will work together in further expanding this business in Thiland and other countries," said CPF CEO Prasit Boondoungprasert, who also serves as a CPFGS director.
Boondoungprasert said he welcomed the opportunity to introduce Thai consumers to “Japanese food culture and Japanese-standard sushi and other products … so that they can enjoy the authentic Japanese taste.”
Photo courtesy of CPF Global Food Solution Public Company Limited