Thai food manufacturer Charoen Pokphand Foods (CPF) plans to acquire Chia Tai Food Enterprise, a manufacturer and distributor of meat and ready-to-eat products in China for THB483m ($15.8m).
The transaction will be made through CP China Investment (CPCI), a wholly owned subsidiary of CPP (76% owned by CPF).
Chia Tai Food Enterprise is being sold by Chia Tai Food Investment (CTFI), itself a subsidiary of the Charoen Pokphand Group (CPG), which is a major shareholder of CPF.
The acquisition will enable CPF to involve in the manufacture and distribution of processed food and ready meals in China and transform itself into a leader in the food business in the country.
The production is estimated at 10,000 tons in the first year after the launch and will be gradually increased to a full capacity of 100,000 tones.
CPF is a leading producer of animal feed and shrimp. It also has operations in the UK, where it produces Thai food for the supermarkets.
