CP China Investment Limited entered into a share purchase agreement to acquire C.P. Aquaculture Co., Ltd., Zhangzhou C.P. Chia Tai Aquaculture Co., Ltd. and C.P. Aquaculture Co., Ltd. from Charoen Pokphand Foods Public Company Limited for approximately CNY 430 million.
February 17, 2019
Share
CP China Investment Limited entered into a share purchase agreement to acquire C.P. Aquaculture (Dongfang) Co., Ltd., Zhangzhou C.P. Chia Tai Aquaculture Co., Ltd. and C.P. Aquaculture (Zhanjiang) Co., Ltd. from Charoen Pokphand Foods Public Company Limited (SET:CPF) for approximately CNY 430 million on February 18, 2019. The consideration for the purchase of the equity capital of C.P. Aquaculture (Dongfang) Co., Ltd., Zhangzhou C.P. Chia Tai Aquaculture Co., Ltd., and C.P. Aquaculture (Zhanjiang) Co., Ltd. is CNY 230.8 million, CNY 128.9 million and CNY 65.4 million respectively, to be paid within 60 days following the date of closing. In related transactions, Charoen Pokphand Foods Public Company Limited entered into an agreement to sell C.P. Aquaculture (Beihai) Co., Ltd. to Chia Tai (China) Investment for CNY 35 million. The consideration will be satisfied by use of the available internal resources and external financing. Upon completion of the transaction, C.P. Aquaculture (Dongfang) Co., Ltd., Zhangzhou C.P. Chia Tai Aquaculture Co., Ltd. and C.P. Aquaculture (Zhanjiang) Co., Ltd. will become indirect subsidiaries of C.P. Pokphand Co. Ltd., parent of CP China Investment Limited.
As at December 31, 2018, C.P. Aquaculture (Dongfang) Co., Ltd., Zhangzhou C.P. Chia Tai Aquaculture Co., Ltd. and C.P. Aquaculture (Zhanjiang) Co., Ltd. had net asset values of CNY 192.08 million, CNY 26.67 million and CNY 65.35 million respectively. Closing of the transaction is conditional upon satisfaction of certain conditions, including obtaining of all necessary consents from third parties as required under the transaction and all necessary approvals from and registrations or filings with the government authorities. As of February 18, 2019, the transaction was approved by the Board of Directors of C.P. Pokphand Co. Ltd. wherein Dhanin Chearavanont, Adirek Sripratak, Soopakij Chearavanont, Suphachai Chearavanont, Sooksunt Jiumjaiswanglerg and Arunee Watcharananan abstained from voting due to their material interest in the transaction.
Charoen Pokphand Foods Public Company Limited is a Thailand-based company, which is engaged in the agro-industrial and integrated food businesses. It operates a vertically integrated agro-industrial and food business in animal proteins, with the main animals namely swine, broiler, shrimp, and layers. The process starts from animal feed production, commercial animal breeding, farm operation, primary processing, manufacturing of food and ready-to-eat products, meat, food products distribution, and restaurants. The businesses are categorized into three product categories: Feed Business, Farm and Processing Business, and Food Business. The Feed Business is engaged in the production and distribution of animal feed. The Farm and Processing Business is involved in animal breeding, commercial farming, and primary processing. The Food Business is involved in producing and distributing processed meat products, semi-cooked, cooked, or ready-to-eat. Its products are distributed under the CP brand.
CP China Investment Limited entered into a share purchase agreement to acquire C.P. Aquaculture Co., Ltd., Zhangzhou C.P. Chia Tai Aquaculture Co., Ltd. and C.P. Aquaculture Co., Ltd. from Charoen Pokphand Foods Public Company Limited for approximately CNY 430 million.
CHAROEN POKPHAND FOODS 
