October 29, 2003

CAB Cakaran Corp Aims To Be Malaysia's Largest Fully Integrated Poultry Firm By 2006

CAB Cakaran Corp Bhd (CAB), en route to a KLSE second board listing, aims to be the largest fully integrated poultry player in Malaysia by 2006. 

Chairman Zakaria Hashim said the group, via its wholly-owned subsidiary Gettmore Group Sdn Bhd, planned to broaden its poultry business both upstream and downstream and to penetrate new markets overseas.  

"We plan to open nine new Kyros Kebab outlets by the end of the year," he told reporters after the signing of an underwriting agreement in Kuala Lumpur yesterday. Currently the company has 51 Kyros Kebab outlets locally. 

On the international front, Zakaria said the company had business operations in Singapore, China, Indonesia and very soon, in the US, Pakistan, the Middle East and Brunei. 

"We are in negotiations with several foreign parties who are keen to acquire the Kyros Kebab master franchise," he said. 

He said the company intended to construct a high-tech factory by 2005 in Sg Petani, Kedah, which would have the capacity to slaughter and process 12 million chickens a year. 

CAB, the second fully integrated poultry company with a fast food chain in Malaysia, now has a plant in Segambut with a processing and slaughter capacity of three million chickens a year. 

For its listing, CAB will issue 31.76 million new 50 sen shares at an issue price of 88 sen a share.  

Of the total, 19.5 million shares will be reserved for bumiputra investors; 4 million for eligible directors and employees, 2.2 million for private placement and 6 million for the public. 

RM14.9mil raised from the listing would be used to build the Sg Petani plant, to buy new machinery and for working capital.