Serm Suk board approves acquisition of Wrangyer from ThaiBev

These shares represent 100 per cent of Wrangyer’s paid-up capital. The total value of the deal is Bt248 million and the acquisition is expected to be completed before the end of next month.
The move is part of Serm Suk’s strategy to increase its penetration of the local beverage market by adding energy drinks to its portfolio.
Dhitivute Bulsook, president of the company, said the acquisition of Wrangyer Beverage reflected Serm Suk’s business direction of expanding its line of non-carbonated beverages.
“Thailand’s Bt20-billion energy-drink segment is a significant part of the non-carbonated beverage market, with high potential and continual growth,” he said.
“This acquisition is a great opportunity for Serm Suk to expand in the non-carbonated beverage segment. It also strengthens our production base and distribution network, as Wrangyer’s plant and warehouse is in Nakhon Pathom, which Serm Suk can use as a hub for production and product distribution to the western part of Thailand.
“Wrangyer’s production and distribution capabilities, and the experience and insights its people have in the non-carbonated-beverage segment, will reinforce Serm Suk’s strength in delivering high-quality beverages to fulfil the happiness of our customers,” he added.
Meanwhile, Serm Suk’s distribution agreement with Carabao Tawandang Co expired on Monday. Serm Suk was the sole distributor of Red Carabao in Thailand for more than 10 years, helping the brand find acceptance among consumers nationwide.
Serm Suk launched Oishi ready-to-drink green tea in returnable glass bottles at the end of last year. The firm also plans to launch its own cola and other carbonated drinks after its bottling and distribution contract with Pepsi-Cola expires next month.