Ornamental fish breeder Qian Hu said on Friday it entered a deal to acquire Guangzhou Qian Hu Aquarium and Pets Accessories Manufacturing, or GZQH, for S$13,500 or US$10,000, from Liow Soon Kian.
GZQH, a former subsidiary of Qian Hu, was acquired by Liow in 2011, the fish breeder said in a filing to SGX after the market close on Friday.
“The acquisition is expected to strengthen the group’s supply chain as GZQH has been manufacturing Qian Hu’s proprietary innovative products for more than a decade,” Qian Hu said. “It possesses the operational resources and capacity to ensure consistency in the quality and supply of these accessories products, as well as to enable the building of the group’s research and development (R&D) capabilities.”
Qian Hu noted that last year, it disposed of its Shanghai subsidiary to consolidate its China operations into a single location in Guangzhou, in a move to lower operating costs incurred by duplication in different locations.