Seafood supplier Alliance Select Foods International (FOOD) has completed the divestment of its farmed Salmon subsidiary in Christchurch, New Zealand.

In a stock exchange filing, FOOD said the sale of its 80 percent equity stake in Akaroa Salmon New Zealand Ltd. had already reached its close.

Ahi Mokopuna Ltd. Partnership, the entity comprising Ngati Porou Seafoods Ltd., Te Kahui O Onuku Charitable Co. Ltd. and Archipelago Capital Management Ltd. acquired the shares for P263 million.

Proceeds from the sale will be used to reinvest in FOOD’s operations and to pare down debt.

The sale is consistent with the company’s long-term objective to focus on its Philippine operations, FOOD said.

The fresh capital will allow FOOD to streamline its operations and improve profitability.

The company smokes and processes king salmon in New Zealand, Singapore, Japan, the United States, Philippines and Hong Kong.

FOOD’s salmon revenues accounted for 14 percent of its total sales in 2020, down by nearly half from its 26 percent share in 2019.

FOOD incurred a loss of $723,000 in the first nine months after doubling its losses in 2020 to $10 million.

FOOD was founded by Jonathan Dee and George Sycip, son of the late SGV & Co. founder Washington Sycip.

The company is currently mired in a messy ownership battle since a British Virgin Island firm Strongoak Inc. took control of the company in 2015 and diluted the firm’s Singaporean investors led by Hedy Yap-Chua.

The post Money-losing Alliance Select gets much needed funds, completes sale of New Zealand salmon unit first appeared on Bilyonaryo Business News.



Money-losing Alliance Select gets much needed funds, completes sale of New Zealand salmon unit
Source: Filipino Daily Inquirer