Agostini’s subsidiary Caribbean Distribution Companions Restricted is about to amass Massy Distribution (Jamaica).
Agostini’s Restricted’s Jamaican footprint is about to extend in 2025 as its subsidiary Caribbean Distribution Companions Restricted (CDPL) strikes to amass Massy Distribution (Jamaica) Restricted (MDJL).
The acquisition was introduced on Monday with James Walker, CEO of Agostini’s Pharmaceutical Group, presents at MDJL’s Carifta Avenue headquarters. The acquisition of the Quick-moving shopper items (FMCGs) and pharmaceutical distributor from Massy Holdings Restricted is about to be full by the third quarter (both June or September).
Agostini’s stamped its presence in Jamaica throughout August 2023 when it acquired pharmaceutical distributor Well being Manufacturers Restricted for TT$156.42-million ($3.56-billion). With Agostini’s beforehand buying Barbadian-based Collins Restricted in December 2022, it moved the Carlisle Laboratories pharmaceutical portfolio from MDJL to Well being Manufacturers in January 2024. A number of the merchandise within the Carlisle portfolio embody Histal, Histatussin, Dica and Caribe Balsam merchandise that are staples on most pharmacy cabinets.
This newest acquisition will give Agostini’s a stronger presence in Jamaica as it could instantly management a rising pharmaceutical distributor by way of Well being Manufacturers and entry to a longtime distributor concerned with a number of main FMCG manufacturers plus distribution of manufacturers for Sanofi, Denk Pharma, 3M and Novo Nordisk.
“Regardless of a difficult 2024, we stay optimistic with many alternatives in entrance of us. Our continued give attention to innovating and increasing our owned manufacturers, together with wider regional distribution, positions us for stronger leads to 2025. We’re actively pursuing new enterprise alternatives that can proceed to strengthen the CDP Group for future progress,” acknowledged Christopher Alcazar, CEO of CDPL in Goddard Enterprises Restricted (GEL) 2024 annual report.
CDPL is a 50/50 three way partnership between Agostini’s and Goddard with Agostini’s Chairman Christian E Mouttet chairing CPDL’s board. CDPL was fashioned in July 2015 to carry the FMCG companies of each teams. Agostini’s accounts for CDPL as a subsidiary and consolidates its numbers whereas Goddard accounts for CDPL as an affiliate firm. CDPL at the moment operates in Barbados, Trinidad, St Lucia, St Vincent and the Grenadines, Grenada, and Guyana by way of manufacturing and distribution firms.
Neither Agostini’s CEO Barry Davis nor Goddard responded to questions on the anticipated developments to happen at MDJL, together with the retention of workers after the acquisition is accomplished.
The discharge posted by Agostini on the deal acknowledged, “This acquisition is strategic to the regional enlargement of our group’s shopper merchandise and pharmaceutical companies. This transaction is topic to regulatory approvals and the completion of the due diligence course of. We are going to make an extra announcement as soon as the transaction is accomplished.”
Goddard already operates in Jamaica with Constancy Motors Restricted being its most distinguished subsidiary as it’s the seller for Nissan autos in Jamaica. A few of its different Jamaican subsidiaries embody Label Crafts Jamaica Restricted, GCG Floor Companies (Jamaica) Restricted, and Goddard Catering Group (Jamaica) Restricted.
CDPL at the moment owns 10 subsidiaries with Chinook Buying and selling Canada Restricted, a Caribbean exporter of assorted shopper merchandise to the Caribbean, being the final entity acquired below the three way partnership. CDPL acquired 80 per cent of Chinook in Could 2023 for TT$62.37 million. Below the primary 12 months of possession, Chinook exceeded its budgeted gross sales targets and now plans to develop its owned CPDL manufacturers into northern markets for 2025.
“This enlargement permits CDP to strengthen collaboration with current companions, whereas forging new alliances, broadening our community, and enhancing our model constructing efforts. The Miami workplace isn’t just a bodily extension of our firm, however a strategic initiative designed to propel us into new markets, handle key enterprise relationships, and additional our mission of simplification, partnership, and constructing manufacturers throughout the area,” acknowledged Agostini’s 2024 annual report on CPDL’s new workplace opened in April 2024.
CDP Trinidad Restricted (Vemco division), a CDPL subsidiary, had a tricky 2024 and centered on being aggressive by way of strategic value discounting to keep up manufacturing volumes. This yielded some success as Vemco elevated volumes progress for its proprietary manufacturers by six per cent whereas rising its exports by 13 per cent. Vemco additionally started development of its new warehouse facility in Aranguez, Trinidad, started development on a brand new distribution centre and its Diego Martin facility turned the primary producer in Trinidad & Tobago to qualify for a waste era allow. Vemco launched the primary utility for its chosen warehouse administration system in 2024 and will probably be deploying bill automation later this 12 months.
CDPL’s income elevated 5 per cent to TT$2.95 billion (BDS$868.32 million) or $68.56 billion because it endured slower shopper spending in Trinidad whereas benefiting from the switch of Collins shopper product portfolio throughout the 12 months. Nevertheless, revenue earlier than tax marginally elevated two per cent to TT$215.50 million ($5.01 billion) because it was affected by a one-time write-off of stock by way of its St Lucian operations. Internet revenue declined one per cent to TT$148.09 million.
CPDL’s asset base grew eight per cent to TT$2.19 billion with complete liabilities rising eight per cent to TT$930.21 million. CDPL’s fairness attributable to shareholders was TT$1.19 billion.
Agostini’s is about to have its 81st annual normal assembly (AGM) at 10 am on February 13 by the Hyatt Regency — Port of Spain Ballroom. Goddard held its 86th AGM on January 31 whereas Massy Holdings had its one hundred and first AGM on January 15. Agostini’s subsidiary SuperPharm Restricted had its final acquisition with Massy Holdings Restricted on September 28 when it acquired the belongings and operations of 9 in-house pharmacies situated inside Massy Supermarkets in Trinidad & Tobago for TT$22 million.
