A summary of the collection

Set up food production and trade. The core products of the market include coconut powder and low-fat coconut. It also produces other foods, such as cream and other traditional food ingredients. The collection mainly sells products to five categories of customers, namely: (I) OEM customers; (ii) subcontractors; (iii) industrial customers; (iv) barter companies; and (v) wholesalers customers.

The coconut powder, the core product of the collection, is a cooking ingredient widely used in Nanfang cooking. According to the Ipsos report, "Santan" and "Cocos" are the main global brands of coconut powder, and their products are usually found in giant supermarkets, large markets and hundreds of stores in Malaysia and abroad, while the "RasaEnak" brand products are usually found in local stores in Malaysia.

Industry summary

Coconut powder is mainly consumed in South, Central and Central America. Some Chinese and Central American countries do not produce coconut flour locally, so they have to be imported from countries such as West Asia, Thailand and Sri Lanka. According to the Ipsos report, sales of coconut vermicelli in Spain increased from US $2.51 million in 2011 to US $2.66 million in 2015, with an estimated annual growth rate of 0.9%. Expected sales will increase from US $2.6 million in 2016 to US $267 million in 2020, with a compound annual growth rate of 0.7%.

Cymbals

Valuation

The main raw materials of the collection products are coconut and white coconut meat, and all the main raw materials are sold by third-party suppliers. In the previous period, the five major suppliers accounted for 50.0%, 61.1% and 58.7% of the total respectively. Suppliers may not be able to continue to provide a sufficient, stable or acceptable collection of raw materials. Any moderation or decline in the quantity or quantity of raw material supply may have a significant adverse impact on the production of the collection.

According to the IPO documents, assuming that the global offering has been completed on December 31, 2016, 10.8 shares are expected to be issued after the completion of the sale of long-term shares, equivalent to HK $0.17 to HK $0.19 per share of tangible assets (calculated at HK $1.71 to ringgit for 1 year).