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( The conglomorate behind giant Indonesian noodle manufacturer Indomie has announced plans to purchase international rival Pinehill and expand into Africa and the Middle East market. ©AFP/File BAY ISMOYO )

Indonesia’s Indofood CBP Sukses Makmur plans to buy instant noodle maker Pinehill for $3.0 billion as it eyes growth in Africa and the Middle East, according to a stock exchange filing.

The Indonesian food and snack giant, which makes popular Indomie brand instant noodles, said its shareholders will vote on the proposed deal at a July 15 meeting.

Indofood said the purchase “presents a golden opportunity to expand into fast growing and profitable new markets”, according to the filing.

Through its subsidiaries, British Virgin Islands-based Pinehill has a dozen factories with capacity to produce up to 10 billion packs of instant noodles annually, the filing said.

Its key markets are Saudi Arabia, Nigeria, Egypt, Turkey, Serbia, Ghana, Morocco and Kenya.

Pinehill’s 2019 sales were about $533.5 million with pre-tax profits of $125.0 million, according to the filing.

Indofood, whose shares closed nearly 2.0 percent higher in Jakarta Monday, posted revenue of some 12.01 trillion rupiah ($857 million) in its latest financial year.

– Bloomberg News contributed to this report – 

(AFP)

Disclaimer: Validity of the above story is for 7 Days from original date of publishing. Source: AFP.