TTA seals acquisition of 9% of Sino Grandness
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Thoresen Thai Agencies (TTA) has closed its acquisition of 9 per cent of Sino Grandness Food Industry Group as part of its long-term diversification and sustainable-growth strategy.
“The company is delighted to have completed this transaction as it represents the latest mile-stone in our journey as a rapidly growing conglomerate with a diversified set of international businesses and revenue streams,” Chalermchai Mahagitsiri, president and chief executive officer, said yesterday.
Last year, the company made significant strides in honing its vision and strategy and building upon its portfolio of bulk shipping, energy and infrastructure businesses, he said.
“In line with this strategy, we will continue to drive organic growth, as demonstrated in 2014, while also seeking out other new investment opportunities that are aligned with our vision for the group’s future, particularly where we see synergies that can deliver incremental growth,” he said.
Through a private placement, Sino Grandness allotted and issued 60.6 million shares to Soleado Holdings, making TTA the second-largest shareholder, with one board seat.
The 9.0 per cent of the enlarged issued share capital of Sino Grandness at the issue price of 0.4035 Singapore dollar per share was worth S$24.45 million (Bt605 billion).
Sino Grandness presents TTA with strong growth potential and a stable revenue and profit stream and low business risk, TTA says.
One of China’s leading producers and distributors of canned food and fruit beverage, Sino Grandness has captured more than 75 per cent of the market for Chinese loquat juice, a market that consulting firm Frost & Sullivan forecasts will grow at an average of 39.3 per cent per year through 2017.
Thoresen Thai Agencies is a strategic investment holding company listed on the Stock Exchange of Thailand. Its investment strategy is to grow through a balanced and diversified business portfolio both domestically and internationally.
TTA’s businesses include but are not limited to dry bulk shipping, offshore oil and gas services, fertiliser production and distribution, and integrated port and logistics services.
Its assets were valued at more than Bt49 billion and market capitalisation more than Bt30 billion as of September 30.
