News

SGX-Listed Food Empire Buys New Factory In Malaysia

Facility expands production capacity for manufacturing of instant beverages

SINGAPORE - 29 August 2001 - SGX mainboard-listed Food Empire Holdings Ltd, a manufacturer and exporter of instant beverages and food, is pleased to announce that it has recently purchased a manufacturing facility in Johor Bahru, Malaysia.

The purchase of the facility, which cost RM1.65 million (S$774,648), was made by its subsidiary FES Industries Sdn Bhd.

The acquisition is for a factory, with a built-up area of 10,500 square feet, located on a 43,560-square-foot site. The new factory is the Group's second manufacturing facility in Johor Bahru.

Food Empire Holdings, which produces instant drinks and food such as instant coffee, cappuccino, tea, frozen finger food and candy, will use the new factory to manufacture instant beverages.

The new factory is expected to start operating in January 2002. It will eventually replace Food Empire Holdings' existing factory in Johor Bahru when the lease of the present factory expires in April 2002.

When fully operational, the new facility will have a production capacity of about 572 million sachets of instant beverages. This will be 20 per cent more than the current capacity of 476 million sachets produced by the existing factory in Johor Bahru.

Food Empire Holdings Managing Director, Mr Tan Wang Cheow said: "We are pleased that the expansion of our business is proceeding as planned. The demand for our products is expected to increase as we intensify our marketing efforts in our key markets in Russia, Eastern Europe, Central Asia and Indo-China.

The purchase of this new factory in Johor Bahru will boost the group's production of instant beverages which will help meet the anticipated increase in demand."

Food Empire Holdings presents has four factories - one in Singapore and three in Malaysia (two in Johor and one in Kedah). These factories produce mainly instant beverages.