Osim increases its stake in TWG unit to 70%

LIFESTYLE products firm Osim International has bumped up its stake in subsidiary TWG Tea Company to 70 per cent, up from 53.7 per cent previously, after TWG undertook a rights issue to raise $25 million.

In a release to the Singapore Exchange (SGX) yesterday, Osim said: "The funds will be utilised mainly for expansion during 2014 and to repay a bank loan and a shareholder loan."

The investment is expected to be earnings accretive for Osim this financial year.