April 13, 2012

PT Japfa Comfeed Indonesia to merge with Multibreeder

PT Japfa Comfeed Indonesia (Japfa), one of the largest integrated poultry companies in Indonesia, will merge with PT Multibreeder Adirama Indonesia (Multibreeder), a chicken breeding company, and two of Multibreeder subsidiaries, PT Multiphala Adiputra (Multiphala) and PT Hidon.

Currently Japfa controls 73% of Multibreeder.

According to Japfa director Ign Herry Wibowo, "Japfa, Multibreeder, Multiphala and Hidon have signed an initial agreement on April 11, 2012, relating to the merger plan in which Japfa will be the recipient company of the merger."

He adds "The purpose of the merger was to provide benefits in the areas of operations, namely the integration and control in the operational area so as to accelerate the decision-making and strategic business setting".

As of December 2011, its assets totalled IDR 8.27 trillion (US$902 million). It has cash and cash equivalent of IDR 827.44 billion (US$90.2 million).

Japfa raked in net profits of IDR 671.47 billion (US$73.2 million) in 2011, slashed 38.5% from IDR 1.09 trillion (US$118.9 million) in 2010. This is despite net sales increasing by 12% to IDR 15.63 trillion (US$1.7 billion) from IDR 13.96 trillion (US$1.5 billion) in 2010.