Indonesian firm to invest US$40 million in Vietnam’s food industry
(VOV) - Publicly listed food company PT Tiga Pilar Sejahtera Food (AISA) plans to allocate around US$80 million to expand its business to Vietnam and Malaysia this year, aiming to become a regional player in the food industry.
AISA finance director Sjambiri Lioe told The Jakarta Post on January 8 that his firm planned to spend US$40 million for expansion into each country. “We aim to acquire a stake of between 90% – 100% in a Vietnamese food company as well as a majority stake in a Malaysian food company,” he said.
The negotiations with the Vietnamese partner would likely be complete shortly, while the negotiations with the Malaysian firm was at an early stage, he went on.
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| Tiga Pilar Sejahtera Food (AISA) plans US$80m expansion into Vietnam, Malaysia (Photo by Seputar Forex) |
Sjambiri declined to disclose the names of either company, saying only that one of the companies was a biscuit maker. “Should the acquisition plans go as planned, we will sell the companies’ products on the Indonesian market besides maintaining market share in their countries of origin,” he revealed.
According to its latest financial report, AISA booked Rb 3,600 billion (roughly US$283 million) in net sales during the first nine months of last year, a 24.1% increase from the same period of 2013. The firm’s net profits surged by 14% to Rp 246.8 billion in the January-September period in 2014.