SCG Packaging Public Company Limited (SET: SCGP) has informed the Stock Exchange of Thailand that Thai Containers Group Company Limited (TCG), a 70:30 joint venture between SCGP and Rengo Company Limited, Japan had completed the acquisition of 90% stake in Jin Zhong Fa Paper Industrial (JZF), a fiber packaging manufacturer in Thailand.
The total investment for the 90% stake is THB 68 million. JZF’s financial performance will be consolidated from October 2026 onward.
JZF is a corrugated container producer with a focus on cost efficiency, primarily serving Chinese customers in the fruit export market. In FY2025, JZF recorded revenue of THB 205 million and total assets of THB 240 million. The company operates an annual production capacity of 28,000 tons, with its manufacturing facility strategically located in Chonburi—in close proximity to customers in Eastern Thailand, a region with strong growth potential driven largely by major foreign capital inflows—reflecting a significant opportunity for packaging business expansion.
This transaction is aligned with SCGP’s strategic direction to grow its consumer packaging business across ASEAN, generating both operational and commercial synergies that strengthen SCGP’s market presence and competitive position. By re-allocating existing fruit box orders to JZF, SCGP optimizes group margins through cost-competitive operations and reduced logistics expenses, while freeing up capacity at existing facilities for more suitable orders.
Beyond cost optimization, JZF’s client base will expand SCGP’s customer reach and cross-selling potential, while its additional capacity and available land further provide a scalable platform to capture growing demand—supporting margin improvement and long-term growth.
