Wellspire signs deal to distribute Weilong snacks in Thailand

KUALA LUMPUR (March 23): Wellspire Holdings Bhd's 75.01%-owned subsidiary, Bai Li Enterprise Co Ltd, has entered into a distribution agreement with HH International Enterprise Ltd to distribute snack products in Thailand.

HH is the wholly-owned subsidiary of Weilong Delicious Global Holdings Ltd, a company listed on the Main Board of the Hong Kong Stock Exchange.

Under the agreement, Bai Li will be HH's exclusive distributor of 'Weilong' brand products in Thailand, commencing with konjac and seasoned flour products.

The agreement is valid from Thursday (March 23) till Dec 31, said Wellspire in a bourse filing, adding that the deal may be extended if Bail Li wishes.

"Given the growing market demand for snack food in Thailand, we believe that there is a significant commercial opportunity for Weilong’s products,” said Wellspire’s chief executive officer, Mo Guopiao.

“We intend to reciprocate Weilong Group’s trust and confidence in Wellspire by growing the brand in the hearts and minds of Thai consumers and delivering robust results by leveraging on our network and connection to the market.”

He added that the partnership would further enhance Wellspire’s performance and strengthen its reputation as the distributor of choice in Thailand for snack food manufacturers from China.

Weilong’s overseas department sales director Selvan Zhang said: “We have selected to work with Wellspire given its proven expertise and track record and we look forward to introducing more 'Weilong Delicious' products to Thailand in the foreseeable future.”

On Feb 22, the consumer packaged foods company renewed its supplementary agreement with QiaQia Food Co Ltd to distribute QiaQia's ChaCha sunflower seeds and nut products in Thailand.

Wellspire’s share price closed one sen or 2.53% higher at 40.5 sen, giving the company a market capitalisation of RM288.41 million.