South Korean feed and food producer CJ Cheil Jedang is once again looking to sell its feed and livestock unit, CJ Feed&Care, according to reports.
The company has been selecting advisers to sell a 100% stake in the business, which manufactures feed and sells livestock, mostly pigs and chickens, the Korea Economic Daily reported.
CJ Cheil Jedang is looking to sell the unit for up to US$1.4 billion, but reports say it may be difficult to sell for that amount, as the business has reported losses in recent years.
In 2019, CJ Cheil Jedang was in talks with Nutreco to sell the unit, but the two parties could not agree on a sale price. In 2020, CJ Cheil Jedang tried to sell the unit again by selecting a global investment bank as an adviser, but few prospective buyers expressed interest.
According to Feed Strategy’s Top Feed Companies database, CJ Cheil Jedang operates 27 plants in seven countries (South Korea, China, Vietnam, Philippines, Indonesia, Cambodia and Myanmar). It produces feed additives and compound feed for aquaculture, pigs, poultry and ruminants, and pet food. In 2022, the company produced just under 4 million metric tons of feed.
