Happy Belly Food Group Inc (OTCMKTS:VGANF) Stock Gains After Acquisition News

Happy Belly Food Group Inc (OTCMKTS:VGANF) is a company which emerged as a leader in the food brand consolidation space and yesterday the company came into focus following a key announcement. It announced that back on April 6, 2023 it had inked a non-arm’s length binding letter of intent with regards to the acquisition of a 50% stake in KOA Natural Foods.

Trading Data

On Monday, VGANF stock surged 5.18% to $0.1340 with more than 200 shares traded, compared to volume of 6.02K shares. The stock moved within a range of $0.1340 – 0.1340 after opening trading at $0.1340.

Happy Belly Signs LOI with Binding Provisions for the Acquisition of KOA Natural Foods

KOA Natural Foods in involved in the manufacturing of hand-crafted snacks from out of Ontario. In light of the latest announcement from the company it may be a good time for investors to consider taking a closer look at KOA and if it could be beneficial to Happy Belly Food Group.

In 2023, KOA has projected that its gross revenues would be C$7900000 to go along with EBITDA of C$2,300,000. The company also projected that its loans and liabilities would come to C$1,980,000. In the past two years, the company managed to grow at an impressive rate of 30% from one year to the next in terms of revenues.

At the same time, KOA also managed to generate gross margin of more than 30% in the production. The company also boasts of a facility spanning 10000 square foot in Ontario that produces many organic house brands.