Nocera, Inc. Acquires 80% Controlling Interest In Meixin Institutional Food Development Co. Ltd

Rhea-AI Summary

Nocera, Inc. (NASDAQ:NCRA) announced its acquisition of an 80% controlling stake in Meixin Institutional Food Development Co., Ltd. for $4.3 million. Meixin, based in Taipei, specializes in producing hot and frozen meals, including bento boxes. This acquisition is part of Nocera's vertical integration strategy to enhance its sustainable seafood offerings, expecting to generate up to $10 million in revenue for fiscal 2023. CEO Jeff Cheng expressed confidence in leveraging Meixin's expertise to create new food products for distribution.

Positive

• Acquisition of Meixin expected to generate up to $10 million in revenue for fiscal 2023.
• Strengthens Nocera's vertical integration strategy by expanding its product offerings.
• Leverages Meixin's established presence in the food processing sector for market growth.

Negative

• The acquisition cost of $4.3 million may strain Nocera's short-term financial resources.

Acquisition To Generate Up To $10 million in Revenue for Fiscal 2023

TAIPEI, TAIWAN / ACCESSWIRE / September 8, 2022 / Nocera, Inc. (NASDAQ:NCRA) ("Nocera" or the "Company"), a fully integrated sustainable seafood company focusing on manufacturing and operating land-based Recirculatory Aquaculture Systems (RAS), today announced its acquisition of an 80% controlling interest in Meixin Institutional Food Development Co., Ltd. ("Meixin"), a Taiwan corporation located in Taipei City, Taiwan (R.O.C.), using Variable Interest Entity agreements (VIE). The purchase price of the acquisition was $4.3 million.

Meixin, a well-established food processing and catering company established in 2003, is engaged in the production of hot and frozen meals, bento boxes, group meals and processing of vegetables and fruits for other companies in the food industry. Meixin has been catering and serving bento boxes to local banks and companies for the last 19 years, including Chinatrust Bank, Fubon Bang Bank, Eastern Kun, and Good Time Technology. As part of Nocera's vertical integration effort of turning its seafood into delicious and valuable meals, Meixin will produce different food products for Nocera to sell through its distribution channel including bento boxes, takeaway seafood porridge, BBQ eel rice, and seafood fried rice.

Jeff Cheng, Nocera's CEO, commented, "We are very excited about our acquisition of a controlling interest in Meixin and anticipate that Miexin will provide us with a substantial advantage. We want to raise, store, and cook the fish. Our Recirculatory Aquaculture Systems are green using recirculating water, and we believe our bento boxes and food products will generate revenue daily. This acquisition is expected to generate up to $10 million in revenue for fiscal 2023. We look forward to working with Meixin's management team as we leverage their talent and, together with our marketing experience, position Nocera for future success."

About Nocera, Inc.

Nocera (NASDAQ:NCRA) is a fully integrated sustainable seafood company that provides land-based recirculation aquaculture systems (RAS) for both fresh and saltwater fish and invests in fish farms by building high-tech RASs. The Company's main business operation consists of the design, development, and production of large-scale RAS fish tank systems, (aquaculture) for fish farms along with expert consulting, technology transfer, and aquaculture project management services to new and existing aquaculture facilities and operators. For more information, please visit the company's website at www.nocera.company.

Cautionary Note Regarding Forward-Looking Statements

This press release contains forward-looking statements that are inherently subject to risks and uncertainties. Any statements contained in this document that are not historical facts are forward-looking statements as defined in the U.S. Private Securities Litigation Reform Act of 1995. Words such as "anticipates," " believes," "estimates," "expects," "forecasts," "intends "plans," "projects, "predicts," "may," "should" and similar expressions as they relate to Nocera are intended to identify such forward-looking statements. These risks and uncertainties include, but are not limited to, general economic and business conditions, effects of continued geopolitical unrest and regional conflicts, competition, changes in methods of marketing, delays in manufacturing or distribution, changes in customer order patterns, changes in customer offering mix, and various other factors beyond the company's control. Actual events or results may differ materially from those described in this press release due to any of these factors. Nocera is under no obligation to update or alter its forward-looking statements whether as a result of new information, future events or otherwise.

Investor Contacts:

TraDigital IR
Christine Petraglia
christine@tradigitalir.com

Hanover Int'l
Jh@hanoverintlinc.com

SOURCE: Nocera, Inc.

View source version on accesswire.com:
https://www.accesswire.com/714850/Nocera-Inc-Acquires-80-Controlling-Interest-In-Meixin-Institutional-Food-Development-Co-Ltd

FAQ

What is the revenue expectation from Nocera's acquisition of Meixin?

Nocera expects the acquisition to generate up to $10 million in revenue for fiscal 2023.

How much did Nocera pay for the acquisition of Meixin?

Nocera acquired an 80% controlling interest in Meixin for $4.3 million.

What products will Nocera develop after acquiring Meixin?

Nocera plans to produce bento boxes, takeaway seafood porridge, BBQ eel rice, and seafood fried rice.

When was the acquisition of Meixin announced?

The acquisition was announced on September 8, 2022.