$SCGM / 7247 (SCGM BHD): A coconut and palm products producer in the future

$SCGM / 7247 (SCGM BHD) entered PN16 status after divesting its plastic products manufacturing and trading business to Mitsui & Co from Japan. This move left the company as a cash entity without any business operations. To maintain its listing status, SCGM needed to acquire another company. In a recent announcement, SCGM revealed its acquisition target to be ERAMAS, a coconut and palm product manufacturing company.

According to the notice, the acquisition will be made through cash and/or the issuance of new shares at RM0.615 per share.

Now, let's delve into ERAMAS's business activities. ERAMAS is primarily involved in the manufacturing of coconut and palm products, as well as sales and marketing. From the provided information, we can see that Erapoly Global (focus on overseas market) and Eramas Marketing (focus on Malaysia market) are their trading arms, while Eramas Ingredients and PT Eramas Coconut Industries are their manufacturing arms.

Erapoly Global Sdn Bhd specializes in exporting coconut and palm-related products such as RBD Palm Olein, Red Palm Oil, Shortening, Margarine, Sweetened Condensed Milk, Evaporated Filled Milk, and more. The company has diversified its portfolio to include UHT Coconut Milk/Cream, UHT Coconut Milk Beverage, Coconut Milk/Cream Powder, RBD Coconut Oil, and Specialty Food Ingredients. Erapoly Global also offers OEM services and exports to over 109 countries.

Eramas Marketing operates as a sales and marketing company focusing on the Malaysian market. It promotes its house brand, Emma, offering a wide range of coconut-related products and cooking ingredients such as UHT coconut milk/cream, coconut milk/cream powder, coconut water, coconut sugar, and more.

Eramas Ingredients Sdn Bhd specializes in spray dry production with a monthly capacity of 1000MT. The company produces various food-related powders ranging from coconut to palm series.

PT Eramas Coconut Industries serves as the overseas manufacturing plant located in Medan, Indonesia, producing coconut milk/cream, coconut water, and desiccated coconut.

These details provide an overview of ERAMAS's business activities. As ERAMAS is a private company, its financial performance is not publicly accessible. However, following the successful backdoor listing, we will gain a clearer understanding of its financials.