Global Consumers and Agri Life Trading LLC to sign MOU

Editorial Staff

Approval for Global Consumers and Agri Life Trading LLC to sign MOU for partnership and study to merge

Global Consumers Plc ("Global Consumers") and Agri Life Trading LLC ("Agri Life") announced their agreement to study a possible merge, following the approval of the boards of both companies.

The memorandum of understanding marks a significant milestone in their shared goal of expanding their presence in the global food market - was bought possible through the Siraj Fund.

Agri Life Trading, a prominent food trading company based in the UAE since 2015, specializes in the trading of fruits and vegetables, cooking oils, spice trading, grains, cereals, legumes, as well as food and beverage products, primarily catering to the Middle East and Indian market.

Chairman of the executive committee Datuk Lim Tiong Siang stated that “with an impressive growth trajectory, Agri Life recorded net profits of $5 million in 2021, $7.9 million in 2022, and is expected to reach $10 million in 2023.” This remarkable track record positions Agri Life as an excellent target for Global Consumers.

The merge between Global Consumers and Agri Life is expected to create a synergistic effect, tapping into each other's strengths and expanding distribution channels. With a robust production hub in Thailand, Global Consumers will be able to leverage Agri Life's extensive network to enter international markets at a large volume scale. Global Consumers, known for its exports of seafood, ready-to-eat meals, and dried fruits, will now be empowered to serve a wider customer base.

In addition, Global Consumers will benefit from Agri Life's expertise in hedging and risk management in raw material sourcing. This strategic advantage will enhance Global Consumers' ability to navigate market fluctuations and ensure a consistent supply of quality products.

"This partnership represents an exciting opportunity for both companies to unlock new avenues for growth and expand our presence in the global food market. We look forward to leveraging Agri Life's expertise and network to enhance our distribution capabilities and deliver exceptional value to our customers."

This merger is expected to be finalized upon receiving the necessary regulatory approvals and shareholder meeting, after which both Global Consumers and Agri Life Trading LLC will operate as a cohesive entity, with a stronger market presence and increased capabilities.