Tremendous Asia Partners Group Co-Investment in Munchy’s

TREMENDOUS ASIA PARTNERS GROUP (“TAP”) AND KUMPULAN WANG PERSARAAN (DIPERBADANKAN) (“KWAP”) CO-INVEST IN MUNCHY’S, ONE OF THE LARGEST WAFER AND BISCUIT BRANDS IN MALAYSIA

Kuala Lumpur , 17 October 2014

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TAP, an Emerging Asia private equity fund and KWAP today announced an investment of an undisclosed amount to acquire a 30% stake each in Munchy Food Industries Sdn Bhd (“MFI”) and MFI Labuan Limited (“MFIL”) (collectively “Munchy Group”). Munchy Group is a leading food and confectionary manufacturer in Malaysia with a distribution reach of over 45 countries worldwide.“The consumer sector particularly in the FMCG space has shown sustainable growth in South East Asia due to the rise of the middle class, increasing disposable incomes and changing lifestyles. We believe Munchy Group, being one of the leading confectionary manufacturers in the region represents a tremendous opportunity for TAP and KWAP to participate in the anticipated growth of this segment. The Group has a strong consumer brand with a 20 year history and offers a relevant product range that meets the demands of today’s consumers” said Ng Teck Wah, Joint Managing Partner of TAP.

Munchy Group is known for its established brands such as Oat Krunch, Lexus, Muzic and Captain Munch under its mother brand “Munchy’s” and is popular for its quality and affordability. The Group has successfully innovated a diverse portfolio of products to cater to different consumer segments with its wafer (Muzic) and oat based (Oat Krunch) products ranked No. 1 in the domestic market.

The businesses of Munchy Group will continue to be led by the founding Tan brothers alongside a team of highly experienced senior management. The partnership will allow Munchy Group to leverage on TAP’s infrastructure in Southeast Asia together with KWAP’s network in the region to continue its expansion and growth plans to be one of the largest food and confectionary players in the region.

Chief Executive Officer of KWAP, Wan Kamaruzaman Wan Ahmad said “We are very excited with this partnership which represents our first direct investment for our private equity arm. The collaboration with TAP is part of our strategy to co-invest with General Partners which we have invested in and the Munchy Group co-investment reflects our confidence in the Munchy’s brand and the consumer sector. We have seen Munchy’s as a brand grow over the years and have confidence in the management to be able to tap into the growth opportunities in Asia”.

“We have a hands on value accretive investment strategy and our consumer portfolios have seen much growth and value add since our involvement. Together with the participation of KWAP in this investment, we hope to be able to help grow Munchy Group by leveraging on our consumer value add platform and regional footprint into one of the most successful biscuit brands in the region”, concluded Datuk Jared Lim, Joint Managing Partner of TAP.

About TAP

TAP is an alternative asset investment and management group focused on opportunities in the consumer space in Southeast Asia.

TAP’s management team combines investment and operational experience across 4 countries with proven success in identifying and managing growth-oriented investment opportunities and engineering cross-border transactions in the region. The key executives and founders include Dato’ Mohammed Azlan Hashim (Chairman), Ng Teck Wah and Datuk Jared Lim.

The investment strategy of TAP is geographically focused in Southeast Asia predominantly, Malaysia, Thailand, Singapore and Indonesia while the sector focus is in the consumer space encompassing food and beverage, education, healthcare, lifestyle, media and entertainment. This strategy has been formulated based on the demographic trends in Southeast Asia namely increased consumer spending and urban migration in one of the most populous and youngest populations in the world. TAP has a hands-on value creation proposition comprising not just expertise in Financial Structuring and Operational Enhancements but also has an in-house multi award winning Consumer Team specializing in Branding, Design, Media, Licensing and Merchandising strategies. These value added competencies together with the group’s regional footprint allows TAP to successfully expand its portfolio companies throughout the Asian region.

Further information is available at http://www.tremasia.com.

About KWAP

Kumpulan Wang Persaraan (Diperbadankan) (“KWAP”) or the Retirement Fund (Incorporated) was established on 1st March 2007 under the Retirement Fund Act 2007(Act 662) replacing the repealed Pensions Trust Fund Act 1991 (Act 454).

The objective of KWAP is to manage the fund (“the Fund”) established under Section 13 of Act 662 towards achieving optimum returns on its investments. The Fund shall be applied towards assisting the Federal Government in financing its pension liability.

For more information about KWAP, visit : http://www.kwap.gov.my.

About MUNCHY

Munchy Group,since its birth in 1991, is one of the largest biscuit players in Malaysia with a state-of-the-art manufacturing facility in BatuPahat, Malaysia. The Group that is

present in all biscuit categories has strong brand presence that caters for all consumer segments. In line with its mission to fill all kinds of fun-eating snacks in every home, Munchy’s products are available in most retail outlets in Malaysia and can now be found in approximately 45 countries globally. Its main products include Munchy’s Cream Crackers, LEXUS Sandwich Biscuits, MUZIC Wafer, Oat Krunch and Captain Munch cookies.

Further information is available at http://www.munchys.com.

 

Download as PDF: Munchy – Final Press Release