International milk (IDP) paves the way for Blue Point to ‘acquire’

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Specifically, the management of International Dairy said that the company planned to register and become a public company in accordance with the securities laws.

It is known that, when completing the registration procedure, Blue Point Joint Stock Company will buy 90% of IDP’s total voting shares without having to perform the public tender procedure. Expected completion of the transaction is until the end of 12/2020.

Recently, International Milk has announced the transaction of Howard Holding Pte. Ltd. (an organization related to VinaCapital). Specifically, Howard Holding sold more than 16 million shares of International Milk, reducing its ownership to more than 25%.

Currently, the two major shareholders of IDP include VinaCapital Real Estate Investment and Development Management Company and Daiwa PI Partners. In November 2014, IDP received USD 75 million from these two investors. At the same time, IDP also officially appointed Tran Bao Minh, a “marketing witch” with experience in dairy companies such as Vinamilk and TH True milk, as the CEO.

IDP’s General Meeting of Shareholders also approved the dismissal of the position of Board member for Mr. Jumpei Nakamura and Mr. Nguyen Tuan Dung. At the same time, the International Dairy Management Board appointed Mr. To Hai and Mr. Ho Si Tuan Phat as members of the Board of Directors. Reportedly, Mr. To Hai is the General Director cum member of the Board of Directors of Viet Capital Securities Joint Stock Company (VCI).

International Dairy Joint Stock Company was established in 2004 with 3 main brands: Ba Vi, Lif and Kun. From 2004 to 2010, this company established 2 factories in Chuong My and Ba Vi.

According to a report by SSI Research, Vietnam’s dairy industry only increased by 0.5% in market capitalization in 2019, lower than expected. Also at the report, SSI forecasts that the dairy industry will continue to grow one-digit in 2020. Along with the acquisition of IDP by Blue Point, the dairy industry from the end of 2019 has also had many changes. For example, the M&A deal between Vinamilk and GNTFoods helped Vinamilk officially own the Moc Chau milk brand.