Charoen Pokphand Foods (CPF) is taking a stake in a local bottled water producer, as the Thai group looks to grow its presence in the drinks category.
CPF Food and Beverage Company Limited (CPFFB), a subsidiary in which CPF indirectly holds 99.99% of shares, will invest a total of Bt334.7m ($10.14m) in Brew Factory Company.
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The investment will provide CPFFB with 51% stake in the business, which produces and distributes bottled and mineral water in Thailand.
In a filing to the Thai stock exchange, CPF said the deal was structured in two stages.
On 1 September, CPFFB acquired 436,240 ordinary shares in Brew Factory from existing shareholders, representing a 43.6% stake, for Bt235.3m.
Within 30 days of that date, Brew Factory will carry out a capital increase through the issuance of 216,940 new shares, of which CPFFB will subscribe to 184,400 for a further Bt99.4m.
Once both stages are complete, Brew Factory will become a subsidiary of CPF.
The acquisition is “in line with the CPF Group’s business direction to expand its investments into the bottled water business, which is complementary to its core business and has strong growth potential”, the filing added.
Brew Factory was incorporated in December last year to take on a bottled and mineral water production business, including a factory, warehouse and office in Surin Province.
The site has a total annual production capacity of 295 million litres.
Brew Factory currently generates most of its revenue through contract manufacturing for “traditional and modern trade customers”, alongside sales of its own-brand water, Sabai.
For the five months to the end of May, the business reported total revenue of Bt210m and net profit of Bt15m, according to reviewed financial statements cited in the stock exchange filing.
Following completion of the deal, Brew Factory’s shareholder base will include CPFFB with 51% and members of the Tangthaweesit family retaining a combined 40% stake. CT Bright Holdings will hold the remaining 9%.
The deal is CPF’s second beverage-related move in a month.
In August, CP Vietnam, an indirect wholly-owned subsidiary of CPF, acquired a majority 76.6% stake in Les Vergers Du Mekong Joint Stock Company (LVDM) for nearly Bt336m.
The Vietnamese business manufactures and distributes non-alcoholic beverages and fruit-based food products.
Headquartered in Bangkok, CPK is more well known for producing processed and ready-to-eat products under its food business, rather than drinks. It also runs feed and farming business units.
According to its website, it sells frozen and ready-to-eat meat and fish products and ready meals. As of December 2025, 38% of its revenue came from its operations in Thailand. This was followed by operations in Vietnam and China.
The group also has a presence in the US and several European countries.
Last year CPF reported a net profit of Bt25.2bn, a 29% increase compared to 2024 driven by “stronger gross profit margins”.
The company’s total sales revenue declined 2% year-on-year to Bt571.1bn due to the appreciation of the Thai baht.
