August 23, 2017
AEV expands feed business in Vietnam, buys 70% stake in Eurofeed
Aboitiz Equity Ventures Inc. (AEV) has acquired 70% of Vietnam-based Eurofeed, a move which expands the Philippines-based conglomerate's presence in the Vietnamese animal feed market.
The $3.7 million acquisition of the stake in Eurofeed - also known as Europe Nutrition Joint Stock Co. - was conducted through AEV's wholly owned subsidiary Pilmico International Pte., The Inquirer reported.
The deal will be subjected to a closing audit review, execution of a shareholder's agreement, and delivery of corresponding investment certificates and other corporate documents to Vietnamese authorities.
According to AEV's financial report, Pilmico has set aside PHP1.7 billion (US$33,200,000) in capital spending for 2017 to support its flour, feed and farms divisions while also exploring opportunities in the region.
Pilmico's plan is to grow its "animal feed-related businesses in the Philippines" and export feed products to Vietnam, Indonesia and the Pacific.
In Vietnam, Pilmioc VHF will run a new aqua feed mill and "look into exporting aqua feeds" to ASEAN nations and Africa.
"The company will also actively pursue other opportunities in the region through mergers and acquisition," the report stated.
- The Inquirer
