Japfa

Japfa: Macquarie issues first call warrant over Japfa today. Japfa debuted two weeks ago on 15th August with an IPO price of $0.80 and since then, its share price has risen 13.8%, closing at $0.91 yesterday. Japfa is 57.5% controlled by the Santosa family and has presence in Indonesia, China, Vietnam, India and Myanmar with its headquarters situated in Singapore. Chief executive Tan Yong Nang said that he is “pleased to continue using Singapore as the company’s base, to further expand and entrench the company’s leadership positions across multiple protein foods”. The company covers the entire value chain for many of its protein product, extending from feed production and breeding, to commercial farming and processing. In addition, they operate dairy farms in China and distributes brands including Greenfields milk in Southeast Asia and Hong Kong. According to research outfit Frost & Sullivan, Greenfields was the market leader for premium fresh milk in Indonesia last year with a market share of around 38%. Greenfields milk can be found in Singapore. Net proceeds from the IPO will be used mainly for growing its dairy business in China, investing in its animal protein business in its target markets and to repay some of its debts.