Japfa in $236 million deal with buyout funds for Indonesian dairy business



KONTAN.CO.ID - SINGAPORE. Agri-food company Japfa Ltd said on Monday it would sell an 80% stake in its Indonesian dairy business to private equity firms TPG and Northstar Group for $236 million, sending the Singapore-based firm's shares 4% higher.

Japfa's dairy business in Southeast Asia does everything from farming to the branding of dairy products, and is Indonesia's largest dairy farm operations by volume of premium fresh milk produced with a herd size of over 16,000 Holstein and Jersey cattle, according to a statement.

The company said a strategic partnership with TPG and Northstar can bring both funding and senior management expertise to further grow the business.


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In July, Japfa completed the sale of a 25% stake in its China dairy farming business to Japan's Meiji Co. Ltd for $254.4 million.

Credit Suisse (Singapore) is the exclusive financial advisor to Japfa on the deal with TPG and Northstar. 

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Editor: Anna Suci Perwitasari