Ekuinas exits Malaysia halal meats business

Established in 1987, the company manufactures sausages, cold cuts, meatballs, patties, soup, and sauces. Its major customers are quick service restaurants, hotels, restaurants, caters, and wholesalers. PrimaBaguz is responsible for more than 100 products under 15 brands in Malaysia and 10 other countries.

Ekuinas took a 100% interest in the business in 2013. It claims to have driven a 75% increase in revenue during this period, through expanding manufacturing capacity and product ranges, delivering more product customization, establishing long-term supply relationships with fast food chains, and strengthening the management team.

With these improvements in place, PrimaBaguz was able to tap into different segments within the industry and meet the increasing demand locally and regionally,” said Syed Yasir Arafat Syed Abd Kadir, CEO of Ekuinas, in a statement. The sale has generated a gross IRR of 22.1% and a 3.8x money multiple.

Johnsonville is a processed meat specialist that produces sausages, meatballs, and other protein items for the retail, wholesale, and foodservice markets. Its products are available in more than 50 countries. The company is looking to expand its footprint in Southeast Asia and plans to use PrimaBaguz as a halal hub for Asia and the Middle East.

The transaction brings Ekuinas’ total realization proceeds since its inception in 2009 to MYR3.1 billion. Last year, the firm exited its entire majority holdings in local healthcare players MediExpress and PMCare to Japan’s Sumitomo Corporation. Ekuinas also set up its fourth fund with a corpus of MYR1.5 billion and an investment mandate including healthcare, energy, and various consumer segments.

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• Topics
• Southeast Asia
• Trade sale
• Consumer
• Malaysia
• Ekuinas