CPF Expands into Bottled Water Business, Invests 334.7 Million Baht to Acquire 51% Stake in BREW

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CPF, or Charoen Pokphand Foods, announced an investment in Brew Factory Company Limited, or BREW, a producer and distributor of bottled drinking water and mineral water in Thailand, through its subsidiary CPF Food and Beverage Company Limited, or CPFFB, in which CPF holds a 99.99% stake. CPF will acquire 43.6% of existing shares for 235.3 million baht and subscribe to a capital increase of 7.4% for 99.4 million baht, totaling an investment of 334.7 million baht, representing a 51% shareholding. After this transaction, BREW will become a subsidiary of CPF. BREW was established in 2015, is located in Surin Province, and has a production capacity of 295 million liters per year. Its main revenue comes from OEM manufacturing and the sale of its drinking water brand "Sabai Drinking Water." For the first five months of 2026, BREW reported revenue of 210 million baht and a profit of 15 million baht. Research analysts view this transaction as small, accounting for only 0.06% of total net assets, so it will not affect the financial position, and internal cash flow will be used as the funding source. The transaction value implies a PER of approximately 10 times, which is considered inexpensive and below the group average. Although it will not affect earnings estimates in the short term, it is a strategic investment to leverage CPF's network to expand its drinking water business in the long term. The research team maintains a "Buy on Weakness" recommendation with a 2027 fair value of 25.00 baht.

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Brew Factory Co., Ltd.i
Private▲ PositiveCapitalrelevance

BREW is acquired 51% by CPF for 334.7 million baht, gaining a parent with a broad network to expand its bottled water business.

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Private▲ PositiveCapitalrelevance

CPFFB, CPF's 99.99%-owned subsidiary, is the vehicle making the 334.7 million baht investment to acquire 51% of BREW.