Universal Robina Corporation (URC) on Friday said it is acquiring Malaysian biscuits company Munchy Food Industries for around 1.925 billion ringgit or around P22.9 billion, as it further expands in Southeast Asia.
In a disclosure to the stock exchange, the Gokongwei-led snacks and beverage firm said it agreed to buy a 100% stake in Munchy and its subsidiary from private equity firm CVC Capital Partners.
URC said the board of directors of both companies have already approved the deal, which is expected to be completed by December 2021.
Munchy’s is described as the top biscuit brand in Malaysia. Among its products include Munchy’s Cream Crackers, Choc-O cookies and Lexus Cream Sandwich, which are available in over 50 countries.
“URC is delighted to announce the acquisition of Munchy’s which will add immediate value to our international product portfolio, and scale up our Malaysian market position to leadership in the biscuits category,” URC President and Chief Executive Officer (CEO) Irwin C. Lee said in a separate press statement.
Mr. Lee said the deal will allow URC to further grow its homegrown brands and Munchy’s in Malaysia and Southeast Asia.
Munchy’s CEO Rodney Wong said the firm is “excited” to be part of URC.
“This move will allow Munchy’s to have access to Research & Development expertise in multiple categories, enhance market knowledge, route to market, and manufacturing capabilities in countries outside of Malaysia,” Mr. Wong said.
Trading of URC shares were suspended on Friday, and will be lifted on Monday at 10 a.m. — Keren Concepcion G. Valmonte