Major poultry producer Leong Hup International Bhd (Leong Hup) has fully acquired food manufacturer and distributor, The Baker’s Cottage Sdn Bhd (TBC) for RM17.94 million (US$4.21 million).
Its wholly-owned subsidiary, Leong Hup (M) Sdn Bhd bought the 43.43 million shares from Emerging Glory Sdn Bhd, which is owned by Leong Hup’s Executive Chairman Lau Chia Nguang and his family members who also sat on Leong Hup’s board.
Leong Hup (M), through unit Leong Hup Agrobusiness Sdn Bhd, has also inked agreements to acquire TBC brand bakery business from Astaka Shopping Centre (Muar) Sdn Bhd for RM1.53 million (US$359,000) and TBC retail business owned and operated by Poly-Yarn Industries Sdn Bhd for RM862,126 (US$202,250). Astaka owns and operates 6 Baker’s Cottage outlets in Johor, Malacca, and Negeri Sembilan while Poly-Yarn Industries owns and operates 3 outlets in Selangor. Leong Hup will acquire all inventories, fixed assets and TBC license rights from these 2 companies.
A spokesperson from Leong Hup said, “The acquisition will allow Leong Hup to own the Bakers Cottage brand and integrate vertically downward to capture incremental value added from its poultry-related product sales and provide margin stability in times of live broilers supply-demand imbalance.”
The Baker’s Cottage Sdn Bhd (TBC) is a well-known Malaysian manufacturer of cookies, moon cakes and frozen dough.
Leong Hup acquires The Baker’s Cottage
1.5K
