News and Press Releases

SIAF Outlines Work Schedule for Aquaculture Carve-out

Apr 28, 2016

As communicated in the prepared remarks on the conference call April 18th, Sino Agro Food has "laid the groundwork to increase valuation and visibility of the group’s assets through separate carve-outs of its business segments. We expect to capitalize on these efforts in 2016 toward becoming a true holding company.

"For aquaculture assets, we have begun the process of transferring contracts from Capital Award into our Hong Kong based Tri-way Industries Subsidiary, such that Tri-way will acquire the rights to attain ownership in Prawn Farms 1 and 2, and Prawn Farms 3 and 4 of the Zhongshan MegaFarm. Tri-way will receive the current commission fee income on said farms until acquisitions are made. This creates a separate legal entity suitable for listing on a regulated market or multilateral trading facility, one with clear visibility into the financial performance of the Aquaculture operations. Tri-way will also serve as an excellent platform for raising debt capital.

"Restructuring the Aquaculture business segment into a stand-alone entity will entail incorporating a separate audit firm and Board of Directors, a listing exercise, etc."

As mentioned in the conference call Q & A, the Company would post more details about the aquaculture carve-out requirements, timeframes and dependencies. The images below contain lists that itemize most necessary tasks, many of which are underway. The Company will publish progress on these steps as it occurs. The list also serves as a general template for the carve-outs of other assets.

 

 

 

 

 

 

 

Contacts

 

Peter Grossman

Erik Ahl

Investor Relations

Nordic Countries

+1 (775) 901-0344

+46 (0) 760 495 885

info@sinoagrofood.com

erik.ahl@sinoagrofood.com

 

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