Food manufacturer, Seprod Limited, received an infusion of $5.65 billion after acquiring the Trinidad and Tobago-based –A.S. Bryden & Sons Holding Limited into its financials.
Seprod’s cash flow recorded the multi-billion dollar jump in investments during the quarter and described the line item as the acquisition of a subsidiary.
The precise cost of the acquisition is unknown at this time.
That’s because the details of the cost side of the acquisition are still pending the closure of the deal.
“Finalisation of the accounting for the acquisition is subject to the completion of valuation reports of intangible assets and other matters,” stated Seprod on the acquisition.
On June 6, 2022, Seprod announced that it intended to acquire A.S. Bryden. The company operates through three principal operating subsidiaries – A.S. Bryden & Sons in Trinidad, A.S. Bryden pi Limited and F.T. Farfan Limited.
Though the deal is yet to be completed, Seprod noted that it still incorporated the performance of A.S. Bryden into the consolidated financials.
“The revenue growth was driven by the contribution of the Bryden Group for the month of June 2022, robust export growth, improved product mix, improved production of fresh milk at the dairy farms, the launch of a new snack line and price increases,” stated Seprod, led by CEO Richard Pandohie.
Seprod CEO Richard Pandohie
For the second quarter between April and June 30, 2022, the Seprod Group achieved revenues of $16 billion, an increase of $5.75 billion or 56 per cent over the corresponding period in 2021.
Net profit totalled $984 million, an increase of $323 million or 49 per cent over the prior period.
Seprod stated that overall, the global market remains volatile but it believes that raw material prices might retreat later in the year due to reaching “peak prices”.