Hain Celestial Completes the Expansion of its Asian Alliance with Yeo Hiap Seng Limited
Hain Celestial has obtained an option to purchase additional shares to bring its total investment up to 5% of YHS's issued and outstanding shares, while YHS has obtained an option to acquire shares in Hain Celestial.
04/06/07 The Hain Celestial Group, Inc., a leading natural and organic food and personal care products company, has completed its previously announced additional investments in Yeo Hiap Seng Limited and its subsidiary, a Singapore-based natural food and beverage company listed on the Singapore Stock Exchange.
"With a strong foothold in the Asian marketplace through our alliance with YHS, we look to expand the natural and organic product offerings of our Hain Celestial brands and through co-branding with Yeo's," said Irwin Simon.
Both companies increased their equity investments in each other by $6 million, bringing the total equity investments to $8 million. Hain Celestial has obtained an option to purchase additional shares to bring its total investment up to 5% of YHS's issued and outstanding shares, while YHS has obtained an option to acquire shares in Hain Celestial equal to the dollar investment required by Hain Celestial, when and if it should exercise its option.
The companies have been exploring the expansion of distribution channels and geographic markets as well as cross-selling, spanning Asia including Singapore, Malaysia, Hong Kong and China, and in the United States, Canada and Europe. Additionally, the companies plan to establish two joint ventures (i) to pursue joint interests in marketing and distribution of food and beverages and product development and (ii) to make investments in natural and organic food and personal care product companies in Asia.
