CCK Consolidated Holdings Bhd has announced the sale of a 40% stake in its Indonesian subsidiary, PT Adilmart, to private equity firm Creador Sdn Bhd for RM163.1 million.

The partnership is set to accelerate PT Adilmart’s growth as a leading consumer foods brand in Indonesia.

CCK signed a binding agreement on May 27, 2024, with Astrantia Sdn Bhd, Creador’s vehicle, to facilitate this transaction through a combination of share disposals and new share subscriptions.

CCK will sell 26.5% of its existing shares for RM88.1 million, and Astrantia will subscribe to new shares worth RM75 million, providing Adilmart with capital for expansion.

The proceeds will go toward debt repayment, operational support, and future project investments.

Following these transactions, Astrantia will hold 40% of PT Adilmart’s equity.

The company produces frozen food products and plans to expand its production capacity in Indonesia.

CCK’s MD, John Tiong, believes this partnership will help Adilmart meet growing market demand and increase its presence in other key markets in Indonesia.

CCK’s shares rose 1.11% to RM1.82, valuing the company at RM1.15 billion. –TMR