Feed giant Gold Coin sold for $500 million
Comments Off on Feed giant Gold Coin sold for $500 million

Feed giant Gold Coin sold for $500 million

Posted by | July 20, 2018 |

Parent Golden Springs Group retains a minority stake of 25%.

Golden Springs Group announced Friday it entered into a sale and  purchase agreement to sell 75 percent of Gold Coin Management Holdings
to Pilmico International, a subsidiary of Aboitiz Equity Ventures (AEV), for  $500 million (€428.7 million).

Gold Coin is one of the largest animal nutrition platforms in Asia Pacific, offering livestock feed, aqua feed. It is also involved in shrimp breeding
and the tilapia business with a minority stake in Regal Springs.

The group has operations across 11 countries and operates 20 feed production mills, with headquarters in Singapore.

Gold Coin’s aqua business, which makes shrimp nutrition products and owns shrimp genetics company SyAqua, has about $90 million (€77million) in annual sales.

Pilmico, the food arm of the Aboitiz Group, is ranked amongst the top three flour and animal nutrition producers in the Philippines. AEV is the
public holding company of the Aboitiz Group with major investments in power, banking and financial services, food, infrastructure, and land.

The transaction will see the start of a long-term partnership between Aboitiz Group and Golden Springs, which will continue to retain a 25 percent stake in Gold Coin.

“The Zuellig and Aboitiz families have known each other for generations,”said Peter Zuellig, chairman of Golden Springs. “I am excited about the
partnership with Aboitiz Group, one of the largest and most established conglomerates in the region. The partnership will strengthen Gold Coin’s
growth profile and long-term value creation potential.”

Golden Springs decided to retain a minority stake to ensure it is “able to participate in Gold Coin’s strong growth potential as it executes on its
expansion strategies together with Pilmico,” Zuellig added.

The acquisition will add 3 million metric tons of volume to Pilmico, which quadruples its overall feeds production capacity, said Sabin M. Aboitiz,
chief operating officer at AEV and president and chief executive officer at Pilmico.

“The integration of Gold Coin and Pilmico is expected to generate substantial synergies for both companies,” said Gerald Wilflingseder, general nanager at Gold Coin. “We look forward to working with Aboitiz and GSG to crystallize Gold Coin’s strategic vision.”Credit Suisse acted as GSG’s sole financial advisor on this transaction.