Hi-P unit to sink 22.8m yuan in coffee machine making business

A WHOLLY owned subsidiary of mainboard-listed Hi-P International is investing 22.8 million yuan (S$4.63 million) into a joint venture (JV) company that will make coffee machines and provide packaging for coffee and beverages.

The subsidiary, Huglomerate will inject three million yuan as paid-up capital and extend 19.8 million yuan as shareholder's loan to the JV company with China-incorporated Cino Coffee Machine Mfg Co Ltd.

Huglomerate will initially hold 20 per cent of the JV company, with Cino on 80 per cent stake as the majority shareholder.

The JV company will have an initial paid-up capital of 15 million yuan.