Maybe some have never heard the name 'The Inside Scoop' which is usually famous among ice cream lovers.
However, the news regarding the proposed acquisition of The Inside Scoop Sdn Bhd (TISSB) by Farm Fresh Bhd (FFB) today (Thursday) has caught the attention of local investors.
Most recently, FFB announced it had entered into a share purchase agreement with TISSB co-founders Edmund Tan Jun Hua, Derrick Wu, and Harsh Rajpal, to acquire a 53% equity stake for RM68.4 million.
Once the proposal is finalized, TISSB will become a subsidiary of FFB with ownership of 65% of the shares, while the remaining 35% interest will be held by its founder, Edmund Tan.
Following this acquisition, Maybank Investment Bank (IB) analysts see it as a good move that will increase income for FFB.
Not only that, it will also offer various positive business synergies across the existing value chain for the dairy company, in addition to potentially penetrating into the CPG (consumer packaged good) ice cream market.
The Inside Scoop is one of the famous ice cream chains in Malaysia, with 35 branches nationwide. The ice cream is loved because the combination of flavors suits the local taste.
As of writing, Farm Fresh shares rose 0.6% to RM1.60.
