NR Instant Produce Public Company Limited (NRF) announced that the Board of Director’s meeting dated 15 October 2021 passed a resolution to purchase 51% in Golden Triangle Health Company Limited (GTH) from Mr. Julpas Kruesopon.
The company intends to purchase the remaining 51% of total paid-up capital of GTH. After the restructuring of the shareholders of GTH, the seller proposed to the company 51% of the shares held by the seller for an amount of 60 million Baht. The payment shall be made in cash. Currently, the company holds 49% of GTH paid-up capital and after completing the transaction, the company shall hold 100% of total paid-up capital of GTH.
GTH operates fully integrated hemp businesses from importing quality hemp seeds, research and development of hemp cultivation and extraction process, as well as development of hemp-flavored food and beverage under its owned brands such as Kinchakan, TOM, and Phaka.
GTH also owns hemp-related product shops and sells the franchise of the shop as well. The company partners with leading cosmetic and consumer brands such as Dentiste Smooth E, Siang Pureto to expand and develop the hemp business in Thailand.
The investment in GTH allows NRF to become a leader in the industrial hemp business in Thailand, which it anticipates a strong growth over the years. GTH’s expertise will allow NRF to incorporate hemp into ethnic, plant-based, and functional sectors. Additionally, GTH offers food and beverages under its own brands and has partnerships with leading consumer brands in Thailand as mentioned previously which will help drive volume as well as distribution across Thailand.
The transaction is expected to be completed within the 4th quarter of 2021.
In addition, the Board of Directors at the same meeting has passed a resolution to establish 4 new companies, of which are wholly owned subsidiaries of the company: 1. A Holding Company to hold all Nove Foods subsidiaries, 2. NoveFoods (USA), a limited liability company in the United States, 3. Nove Foods (Netherlands), a limited liability company in the Netherlands and 4. Nove Foods (Hong Kong), a limited liability company in Hong Kong, and to restructure its plant-based business under Nove Foods group.
The establishment is expected to be completed within the 4th quarter of 2021.
The restructuring is aimed to facilitate the expansion of plant-based business and push the company to compete in the global market, including the United States, Europe, and Asia. The restructuring will also facilitate and support future investment projects in the plant-based industry, where management anticipates strong expansion both in domestic and global markets.
The new establishments shall be holding companies that generate revenue from holding shares in other companies in the plant-based industry.