Mega Prime eyes IPO in 2-3 years

MEGA PRIME FOODS, Inc. is targeting an initial public offering (IPO) within the next two to three years as part of its long-term growth strategy, while seeking to expand its sardines market share this year.

“It is on the table because we really want to share this story, this company, with the Filipinos and with other investors because we believe in it so much,” Mega Prime Chief Growth and Development Officer Marvin P. Tiu Lim told reporters on Wednesday.

“And I think given the right management team, given the right brands that are out there for acquisition, and given the right plan for future growth, we can take this Filipino company globally,” he added.

Mr. Tiu Lim said the company has started preparations for the potential listing, which include discussions with banks and improving internal processes.

“We want the company to be able to go IPO anytime, and that means being more transparent, having good corporate governance in place, and being more professional. So, it has to run like a professionally run company,” he said.

He noted, however, that the plan remains in its early stages. “But it [the plan to go public] is still premature. So, we are just trying to hopefully bring out more products and acquire new brands. We just recently acquired Jim’s Coffee,” he said.

Mega Sardines, the company’s flagship brand, is the current market leader in the Philippines. Citing Nielsen Retail Audit data, Mr. Tiu Lim said the brand captured a 26% market share in 2023, ahead of its closest competitors with 18% and 15% shares, respectively.

The company is targeting an additional five to 10 percentage points in market share this year, aiming to reach at least 30% by end-2024.

“We are not only expecting to sustain it but to grow it massively because we are the only brand that has this certification, and celebrating our 50^th year, we have a big raffle promo coming up… so we expect a lot of market share growth hopefully this year,” he said, referring to a recognition the brand received from the Medical Wellness Association (MWA).

On Wednesday, Mega Sardines was endorsed by the US-based MWA as a “Superfood,” becoming the first sardine brand globally to receive such recognition.

“With the product being rich in omega-3, high in vitamins, and processed with world-class safety, we can say that it is more than a pantry essential — it’s a food that supports overall health,” said James Michael Lafferty, founding board member of the MWA.

He said Mega Sardines met the MWA’s System-6 criteria for a “Superfood,” citing its high omega-3 content, essential nutrients, and stringent food safety processes.

“Based on these proven health benefits, the MWA is proud to bestow its professional recommendation to Mega Sardines — the first and only sardine brand in the Philippines to receive this endorsement. In fact, it is the only seafood brand to do so,” he added.

Following the MWA recognition, Mega Prime aims to increase the share of its export sales from 5% to 10% over the next three years. Its key export markets include Dubai, the United Arab Emirates, and Canada, with Egypt being eyed as a potential new market. — Justine Irish D. Tabile