MANILA, Philippines – Locally-listed AgriNurture Inc. (ANI) is planning to spend a maximum of P130 million to acquire small and medium agricultural firms in China, Hong Kong and Indonesia that will allow it to expand its overseas market.

In an interview, ANI president Antonio Tiu said “we’re looking at several acquisitions. One each in China, Hong Kong and hopefully another one in Indonesia. These are all SMEs so the cost will be around $3 million each or lower.”

Tiu added that these firms “will help expand our reach so, instead of exports we will actually have local presence and they will bring the ANI model to the world” since it is the vision of the firm to become a global brand in five years.

“We want to be the biggest agricultural firm in the country. We’re also aspiring to be a global company,” he said.

At the domestic front, ANI is focusing on increasing food production noting there is a need to increase capacity since there is a shortage of food in the country.

Thus, Tiu said they are focusing their efforts on improving yield, with about 80 percent of their resources on improving yield while the remaining 20 percent will be poured into innovations and improving quality.

“If you have high value crops but not feeding the stomach of 70 percent of the people, it’s useless,” Tiu explained.

Meanwhile, ANI entered into an Agreement with Donn Drake Daniel Cotoco for the acquisition of a Vapor Heat Treatment (VHT) Facility in exchange for ANI shares worth P37.17 million.

Based on the appraisal report of CB Ellis Philippines Inc., the VHT facility has an appraised value of P37.17 million. As full payment for the VHT facility, ANI will issue 2.66 million of its shares at P14 per share to Cotoco.

ANI has also raised P60 million from the issuance of 3.97 million new common shares equivalent to 2.03 percent of its outstanding capital, to existing shareholders.

Tiu said the private placement of shares was meant to allow these shareholders to further increase their stake in the company before they undertake a stock rights offering in a month  time.

Subscribing shareholders were Frederick Sia, Sherwin Yao, Tammy Lin, and Jose Marie Fabella.