Malee Group Public Company Limited

Malee Group Public Company Limited, or MALEE, announced it is preparing to sell its investment in Long Quan Safe Food Company Limited, or LQSF, a business in Vietnam in which it holds a 65% stake. The sale value is expected to be about 40 million baht, with the transaction expected to be completed by December 2026. MALEE has invested in the Vietnam business since 2018. LQSF operates an OEM beverage manufacturing business with a large factory with production capacity of about 330 million liters per year, close to the combined capacity of the company's factories in Thailand, namely the Sam Phran plant at 205 million liters and the Pak Chong plant at 121 million liters per year. Krungsri Securities Public Company Limited views the divestment as neutral to slightly positive for MALEE, as over the long term it will help reduce the burden of losses from the Vietnam business. MALEE has recognized losses based on its 65% shareholding of roughly 10 to 30 million baht per year, or about 6% to 15% of profit, and is expected to begin seeing a positive effect on earnings from 2027. For the short-term impact, Krungsri expects MALEE may record a one-time loss from the divestment of about 10 to 20 million baht, which is expected to be booked in the third quarter of fiscal 2026 and is not yet included in current earnings forecasts. Krungsri also maintained its Neutral recommendation with a 2026 target price of 4.30 baht per share, based on a price-to-book value of 0.9 times, and kept its forecast for normal profit in 2026 at 74 million baht, down 75% year on year, while net profit is expected to fall 63% year on year.

Malee Group (MALEE) has announced a strategy to deploy its subsidiary, Malee Applied Science (MAS), to penetrate the global dietary supplement and beauty market with the launch of 4 nano-encapsulation technology innovations at Vitafoods Asia 2026, held at the Queen Sirikit National Convention Center from September 2-4, 2026. The goal is to create a new S-Curve from high-margin extracts and propel Thailand to become Asia's beauty and wellness hub. Highlight innovations include UVABlox® for skin protection against UV rays, PHEONIQUE® a white tomato extract combined with liposomal glutathione for brighter skin within 14 days, POMECAP® pomegranate extract for anti-aging, and SUGALOC® which controls blood sugar levels by up to 38% in trials with Thai volunteers. The LIPOPLEX DUALSPHERE® technology enhances absorption of active ingredients into cells by more than 10 times. Currently, MAS has 12 products on the market and plans to launch another 8 by 2027, while attracting B2B customers both domestically and internationally. The global beauty market is expected to grow at an average of 5% per year to reach 590 billion US dollars by 2030, and the global supplement market is projected to expand from 228.2 billion US dollars in 2026 to 431.7 billion US dollars in 2033. The Thai market is valued at 3.037 billion US dollars in 2026 and is expected to rise to 5.764 billion US dollars by 2033.