LISTED food and beverage manufacturer Monde Nissin Corp. will invest P17.5 million in retail company Amico Innovations, Inc. as it explores new business opportunities.
Upon the execution of subscription documents, Monde Nissin will subscribe to 87,500 or 70% of Amico Innovation’s common shares at P200 per share, equivalent to P17.5 million, Monde Nissin said in a regulatory filing on Tuesday.
The transaction was approved by Monde Nissin’s executive committee during a meeting on Monday.
“(The subscription is) for the exploration of startup opportunities in new categories and businesses,” Monde Nissin said.
“The subscription will happen on or before Sept. 30, 2024,” it added.
Amico Innovations is a new Philippine corporation engaged in the importing, exporting, repacking, processing, buying, selling, marketing, distributing, trading, or dealing all kinds of goods, wares, and merchandises, which are or may become articles of commerce.
The company is currently in the process of applying for incorporation with the Securities and Exchange Commission.
For the first half, Monde Nissin grew its net income by 17.4% to P4.1 billion as combined revenue surged by 3.1% to P40.1 billion.
The company is aiming to sustain the growth of its Asia-Pacific branded food and beverage (APAC BFB) business in the third quarter.
“Our APAC BFB gross margins have substantially rebounded from last year’s levels, and while we believe further sequential gains will be limited, we expect to see continued improvement in Q3 on a year-on-year basis,” Monde Nissin Chief Executive Officer and Executive Vice-President Henry Soesanto said.
A global food and beverage company, some of Monde Nissin’s brands include Lucky Me noodles, SkyFlakes crackers, Fita crackers, Monde baked goods, and Quorn meat alternative products.
The Board of Investments recently approved Monde Nissin’s P1.21 billion biscuit project in Davao City.
The project will manufacture butter coconut biscuits intended for initial distribution to the Visayas and Mindanao.
Monde Nissin currently produces butter coconut biscuits in Sta. Rosa, Laguna, serving the Luzon market.
On Tuesday, Monde Nissin shares were unchanged at P9.20 per share. — Revin Mikhael D. Ochave
