FRUITAS Holdings Inc. (FRUIT) on Tuesday announced its entry into the roasted chicken chain segment with the acquisition, by its wholly owned subsidiary Negril Trading Inc., of a 60-percent stake in Bigboks Enterprises Inc.
“The transaction represents the Fruitas Group’s entry into the roasted chicken segment, broadening the product offerings under the House of Fruitas. This is expected to create synergies across Fruitas brands, enhancing overall customer experience and satisfaction,” Fruitas told the stock exchange.
Established in 2002, the Mang Bok’s chain mainly offers roasted chicken and pork bellies, among other fried food, along with affordable rice meals.
“Our family continues to grow larger and more fruitful,” Fruitas President and CEO Lester Yu said, noting that the acquisition of Mang Bok’s was an “exciting opportunity” for the company.
“On November 19, 2024, Negril Trading Inc., FRUIT’s 100-percent owned subsidiary, subscribed to new shares of Bigboks Enterprises Inc., making it a 60-percent shareholder of Bigboks Enterprises Inc.” Fruitas said.
“Bigboks Enterprises Inc. will use most of the proceeds to acquire assets related to the Mang Bok’s business from Boksbro Inc.,” it added.
Negril subscribed to 960,000 shares at an agreed price of P9.23 apiece.
“Negril… will pay its subscription in Bigboks Enterprises Inc. in cash, initially paying for 25 percent of the agreed subscription price,” Fruitas said.
The balance is expected to be paid within 2025.
“This acquisition perfectly aligns with our commitment to excellence and our customer-centricity approach,” Yu said.
He subscribed to nominal number of shares in Bigboks, equivalent to a 1.25-percent stake, to qualify as board director and part of senior management post-reorganization.
Other than Negril’s 60 percent and Yu’s 1.25 percent stakes, the remaining 38.75 percent of Bigboks will be held by private individuals.
Fruitas shares on Tuesday fell 1.37 percent to 72 centavos each.
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