Thailand’s Charoen Pokphand Foods (CP Foods) on Friday announced that it acquired a majority of shares in Chinese feed manufacturer C.P. Pokphand Co. (CPP). The deal — which includes PV, an integrated agricultural business in Vietnam — is valued at around THB 66.3 billion.
Listed on the Hong Kong Stock Exchange, CPP produces mainly feed under the Chia Tai, “a well-known brand in China for more than 30 years.” CPP has operations in 28 Chinese provinces.
For the first 6 months of 2011, CPP’s sales totaled USD 1.2 billion (THB 36.3 billion) and its net profit reached USD 64 million (THB 2 billion).
For PV, CPP purchased 70.82 percent of its shares. For the first 6 months of 2011, CPV’s sales totaled USD 648 million (THB 19.8 billion) and its net profit reached USD 97 million (THB 3 billion).
CPF President and CEO Adirek Sripratak said the company is confident in the “high growth potential” in the agricultural business in China and Vietnam. “After complete the transaction CPF will become a leading agricultural and food business in Thailand with operations in 12 countries to serve over 3 billion customers and sales will increase at least 50 percent,” said the company.
