BRIEF: Agile sells seasoning products business for $33 million
Agile Group Holdings Ltd. (3383.HK) announced on Tuesday that its wholly owned subsidiary, Yaxin Investment, has agreed to sell its 21.16% stake in Guangdong PRB Bio-Tech Co. Ltd. to Guangdong Foodstuffs Export Group for 191 million yuan ($27 million).
In a separate agreement at the same time, Guangdong PRB Bio-Tech agreed to buy back another 7.95 million of its shares, or about 4.74% of its share equity, from Yaxin Investment for 42.79 million yuan. Guangdong PRB Bio-Tech is engaged in the R&D, production and sale of high-salt soy sauce, vinegar, compound seasonings and other condiments.
Upon completion of the transaction, Agile will cease to hold any equity interest in PRB Bio-Tech. Agile expects to record a loss of 26.3 million yuan related to the sale. Proceeds from the disposal will be used to fully repay the principal and interest of Agile Realty’s “23 Panya 02” bond, and to support general operations and management.
Agile’s stock opened 1.35% higher on Tuesday and closed at HK$0.395 by the midday break, up 2.6%.
By Lee Shih Ta
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