Food catering firm Neo Group on Wednesday said it entered into an exclusive negotiation agreement with Jil & Yellowtail, Li Xin and two potential vendors to buy shares in Jil and Li Xin.
Jil is involved in making fish balls, fishcakes, fish dumplings and sambal chilli and its products are mainly supplied and sold to Li Xin retail outlets in Singapore.
Li Xin, on the other hand, is primarily involved in the sale of Teochew fish ball noodles in food courts and coffee shops.
Under the Agreement, the potential vendors Lim Swee Meng and Ng Hui Hui Rebecca, along with Jil and Li Xin have agreed to provide Neo Group with an exclusive period starting November 22 to June 30 for negotiations relating to the proposed acquisition.
The agreement, however, will terminate when a definitive agreement in relation to the proposed acquisition is signed or when the exclusive period expires, whichever is earlier.
Neo Group did not disclose the financial details of the agreement.
Earlier in July, Neo entered into an exclusive negotiation agreement to buy shares in ER Marketing and Ever Rich.
Shares in Neo Group gained 4 percent to S$0.69 on the Singapore Exchange.
