PETALING JAYA: Mamee-Double Decker Bhd’s owners and founders, the Pang family, has sold a “minority” stake in the Malacca-based food maker to Hong Kong-based The Headland Private Equity Fund 6LP (HPE6), just a little over a year after delisting the company from Bursa Malaysia.
Mamee was taken private for RM179.8 million. The amount of equity sold and transaction value was not disclosed but the deal is being promoted as a partnership that will allow the snacks and instant noodle maker to tap Headland’s expertise to strengthen its presence in Malaysia and expand abroad.
Both parties could not be contacted at the time of writing but HPE6 investment typically ranges from US$40 million (RM123.94 million) to US$150 million in value. Rothschilds Sdn Bhd acted as the sole financial advisor in the transaction.
Bloomberg last year had reported that the Pang family was prepared to sell up to 40% equity in Mamee for about US$100 million.
HPE6 is an Asian private equity fund advised by Headland Capital Partners Ltd, formerly known as HSBC Private Equity (Asia) Ltd till 2010 when its senior executives undertook a management buyout of 80.1% equity.
The remaining 19.9% stake in the Hong Kong-based outfit is still held by global banking group, HSBC Group.
Mamee was established in 1971 in Malacca, making instant noodles and vermicelli, and it went on to make confectionary products and cultured milk business in the 1980s.
The group, listed in 1992, has renowned brands like “Mister Potato”, “Mamee Monster” and “Double Decker” with exports to 80 countries.
The company has about 37% share of the potato chip market in Malaysia at present with total sales expected to hit RM650 million this year, according to news report quoting CEO Pang Tee Chew last month.