Malaysia-based CCK Consolidated Holdings Bhd’s wholly-owned Indonesian subsidiary, PT Adilmart, is acquiring the entire stake in Indonesian firm, PT Bonanza Pratama Abadi, for US$8 million.
PT Adilmart has inked a share sale agreement with vendors, Mitsumoto Corporation Ltd, Seven Star Enterprise Sdn Bhd, Harvest Bonanza Sdn Bhd, and Miradewi Rosadi.
The acquisition will be funded through internally generated funds and/or bank borrowings.
Bonanza Pratama is involved in the processing and freezing of shrimps for local and export markets for more than 20 years. The acquisition will act as a synergy with CCK’s existing seafood business as well as the poultry processing and manufacturing of downstream products such as sausages, patties and meatballs.
Upon completion of the transaction, Bonanza Pratama will become a wholly-owned subsidiary of CCK.
Prior to the acquisition, CCK already has operations in Indonesia, which contributed 20% of its financial year 2021 revenue. It also has a prawn segment for the rearing and production of prawn and seafood products in Malaysia, which made up 3.3% of its revenue.