Century Pacific Food, Inc. (PSE:CNPF), one of the leading branded food and beverage companies in the Philippines, announced today the acquisition of ‘Ligo’, a legacy brand known for its range of high quality sardines and other marine products.
Under the deal, CNPF will purchase assets and intellectual property related to the manufacturing of ‘Ligo’s’ product lineup, which is composed of shelf-stable marine products.
Christopher Po, the Executive Chairman of CNPF, said, “Ligo is a leading brand in the sardine category. Ligo will be highly synergistic with the rest of our shelf stable marine products. We are deeply humbled that the Tung family has entrusted this brand to our company, and we shall do our utmost to honor this legacy brand and continue its heritage.”
Shelf-stable sardines are among the top consumer staple products in the Philippines. The category is one of the most accessible protein and calcium sources for Filipino consumers, an essential product that supports food security in the country.
Po continued, “This will be an accretive, bolt on acquisition. We foresee synergies in selling and distribution, supply chain, and marketing. Moreover, this acquisition is very aligned with our mission to provide affordable nutrition to our consumers. Our company has a long-standing business in the sardines category. We will be leveraging our scale and our experience to create more value for the brand, which will in turn strengthen our core business.”
‘Ligo’ is one of the top shelf-stable sardine brands in the Philippines with a heritage of over 60 years. It is a market leader in key regions in the Philippines.
CNPF, on the other hand, is one of the largest manufacturers and exporters of marine products. It is home to household brands such as Century Tuna, 555, Blue Bay, and Fresca. The company is also a market leader in meat and has a strong emerging business in dairy and coconuts.
CNPF has been diligently building up its portfolio. Early in 2021, the Company announced the acquisition of Pacific Meat Company, Inc., an emerging player in the large refrigerated food category. The Company also entered into developing and fast-growing categories such as plant-based alternatives and pet food through new brands, ‘unMEAT’ and ‘Goodest’, respectively. CNPF recently announced the expansion of its dairy business as well, launching a new brand ‘Choco Hero’ to compete in the choco malt segment.
In its interim 3Q21 financial results, CNPF disclosed a net income growth of 22% for the nine-month period, hitting a bottomline of P4.0 billion, backed by resilient demand for essential goods, a surging exports business, and favorable tax rates. It is expecting to close the year with a growth between 10-15% for the topline and closer to 20% for the bottomline.