HOMEGROWN international seafood company Alliance Select Foods International Inc. has sold its US unit and its assets in Indonesia to re-focus on its operations in the Philippines and New Zealand.
“Ninety percent of our business is in the Philippines and New Zealand. Growing our operations and maintaining our profitability in these countries is our priority in the medium term,” Alliance Select president and CEO Raymond K.H. See said in a statement filed with the Philippine Stock Exchange Thursday, October 24, 2019.
“To ensure the sustainability of our results, we must consolidate our gains and make decisions that are consistent with our objectives,” he added.
The company sold its wholly-owned Massachusetts-based subsidiary, Spence & Co., to Acme Smoked Fish of Massachusetts LLC.
The land and building of Indonesian subsidiary PT IAFI were sold to PT Multi Nabati Sulawesi, a subsidiary of Wilmar International Limited.
Proceeds from the sale will be used to fund capital expenditures and significantly reduce debt, the company said.
“Alliance Select is a stronger company today and the goal is to continue this positive momentum. We have a healthier balance sheet and are ready to further invest in our future,” See said.
In a regulatory filing, the company said the divestment was approved in a special board meeting held on October 23, 2019.
The board approved the signing of a Securities Purchase Agreement to complete the sale of its shares to Acme.
Alliance Select is engaged in tuna and salmon processing and canning in General Santos City in Mindanao. It exports canned tuna and salmon.
The company is engaged in salmon farming and processing in New Zealand through Akaroa Salmon (NZ) Ltd. (MVI/SunStar Philippines)