KFC Holdings Bhd (KFCH) will via its subsidiary, Ayamas Food Corporation acquire four poultry-related companies for a cash consideration of RM1.11 million from Johor Corporation Bhd.
In a Bursa filing, KFCH said the four companies are among seven intrapreneur farms in Sedenak Kulai, Johor, owned by Johor Franchise Development Sdn Bhd (Johor Franchise) and Johor Ventures Sdn Bhd (Johor Ventures). The remaining three farms are owned by Ayamas.
The company will acquire from Johor Franchise, a 90% stake in Southern Poultry Sdn Bhd for RM378,000, a 84.75% stake in Synergy Poultry Sdn Bhd for RM296,625, and a 90% stake in Ventures Poultry Sdn Bhd for RM378,000.
It will meanwhile, acquire the entire stake of Agrotech Farm Sdn Bhd from Johor Ventures for RM1.
In view of the above structure, Ayamas has proposed to centralise an
d implement a corporate structure to manage all farms under the company to enable it to reap the advantages of a centralised structure.
The company said with a single corporate structure, it provides a platform for more effective resource planning, enabling the processing plant to meet the demand for its restaurant division and open market.
It said this can be done as all broilers from the farms are supplied to the Ayamas processing plant for slaughtering and further processes.
Source: Business Times
Source: newsroom - meattradenewsdaily.co.uk
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