Dongwon Industries plans to delist its canned tuna subsidiary Dongwon F&B after acquiring the remaining 25% stake through a share swap, positioning itself for more aggressive global acquisitions. The South Korean seafood-to-logistics conglomerate announced Monday that its board approved offering 0.9150232 new shares for each share of the F&B unit, with shareholders set to vote on the deal June 11.
If approved, Dongwon F&B will delist from the Korean exchange on July 31. The company expects the consolidation to streamline decision-making and accelerate international growth, particularly through mergers and acquisitions.
Dongwon F&B, Korea’s largest canned tuna producer, has been pursuing international expansion since acquiring StarKist Co., America’s biggest canned tuna company, for $363 million in 2008. The upcoming full integration with its parent company signals a more aggressive global acquisition strategy.
With substantial financial resources at its disposal – over 500 billion won ($350.2 million) in cash and cash equivalents as of late 2024 – Dongwon Industries provides the ammunition for the subsidiary’s ambitious expansion plans.
The group has a history of strategic acquisitions, including packaging materials firm Techpack Solutions in 2014 and logistics operator Dongbu Express (now Dongwon Loex) in 2017. It has also pursued several high-profile targets including HMM Co., Boryung Biopharma Co., and McDonald’s Korea, though these attempts were unsuccessful.
