South East Asian Livestock Services (SEALS) has announced that Singapore’s Yarra Corporation (Yarra Corp) has taken a controlling stake in the company.
The latest in a recent string of big agribusiness deals comes at a time when Australian livestock exporters are looking to the Chinese market for organic growth.
Under the new arrangement, Yarra Corp will provide new capital and participate in the business development of SEALS, which will retain its management team and continue trading in its existing markets under the same name.
With a longstanding clientele predominantly based in Southeast Asia, SEALS hopes to capitalise on Yarra Corp’s new demand and distribution networks across China.
SEALS chairman John Kaus said this will give the company greater buying power during the sourcing of cattle, while also spreading risk associated with market fluctuations and regulatory uncertainties.
Mr Kaus has been working on the deal for the past 12 months and said several parties had been involved in negotiations before a deal was finalised with Yarra Corp.
“SEALS is a great fit in the Yarra Corp’s portfolio of companies, enabling us to continue servicing our longer term customer base while developing new business opportunities within north Asia,” he said.
“SEALS has an extremely loyal client base with some dating back to our formation in the 1990s.
“We have structured the deal to ensure that our long-term clientele will benefit from the change whilst giving us the ability to extend our services into new regions.”
Bradley Leahey, chief executive of Yarra Corp, believes that this partnership also brings the company closer towards establishing a fully integrated supply chain with better cost control and quality assurance when providing for its customer base in China.
“Our vision is to be a one-stop shop, where we can provide our customers with the freshest products from paddock to plate, and the most value-for-money produce directly from Australia,” Mr Leahey said.
“We have always admired John’s and his team’s dedication, and are excited to be working alongside SEALS in this new phase.”
About Yarra Corp
Headquartered in Singapore, Yarra Corporation imports a range of fresh Australian produce to the Asian markets. The company aims to be vertically integrated, with a team of experts in the agricultural, food processing, and hospitality sector.
Founded in 1996 by principal John Kaus and Northern Territory livestock export legend Sid Parker, SEALS has a stable position in the Southeast Asian livestock export market. The company prides itself as having an international team of passionate professionals dedicated to the livestock trade and animal welfare. Over the last decade, SEALS has supplied more than 400,000 head of cattle to the Southeast Asian market, building a successful business relationship among importers.