Blog: Could Bright Food make another M&A move Down Under?
Dean Best | 31 August 2011
On Monday (29 August), Bright Food, the ambitious Chinese food company that has figured heavily in the industry headlines in the last 18 months, held a signing ceremony for its investment in Australian firm Manassen Foods.
The event was held to mark Bright Food's acquisition of a 75% stake in Manassen, an Australian food manufacturer and importer.
The deal with Manassen, which owns brands including The Margaret River Dairy Company and distributes products locally for the likes of Premier Foods plc and Arla Foods, was Bright Food's biggest outside China. The acquisition was said to value Manassen at A$500m (US$534.2m) although financial details were not disclosed.
However, reports in Australia suggest that the move for a majority shareholding in Manassen could be the first in a number of deals by Bright Food in the country.
"Recently, quite a few small to medium-sized Australian businesses came to us on their own to talk about potential co-operation," Bright Food vice president Ge Junjie told The Australian newspaper. "Australia is the area where we are going to focus more."
Furthermore, in The Financial Times, Bright Food chairman Wang Zongnan, said there could be opportunities to invest in a number of sectors in Australia, including sugar, fruit, agricultural products and dairy.
"These abundant resources are our focus for the next stage of our growth," Wang told the FT. "In country selection, Australia comes first. There is also a track record between China and Australia in terms of trade and economic co-operation."
Moreover, Wang said Bright Food had looked at the possibility of more deals across the Tasman in New Zealand, where the company acquired a 51% stake in Synlait Milk last year.
According to the FT, Wang said Bright Food had "examined collaboration opportunities" with New Zealand biscuit maker Griffin's, which could be up for sale. Last month, reports in Australia said Griffin's private-equity owner Pacific Equity Partners had hired UBS and Goldman Sachs to conduct a strategic review of the business.
The plethora of food manufacturing associations in the UK has been argued by some to be an impediment to the industry coming to a coherent position on the aftermath of Brexit and on what the sector sh...
An update on Amazon's plans for the grocery sector. The usually reticent retailer has this week poured cold water on claims it has plans for 2,000 physical grocery stores....
Ask any FMCG executive to list the trends shaking up the sector and digital and e-commerce will be pretty high on the list. Drill down into that and Amazon will be one of the subjects in the digital s...
Since Theresa May took over as UK Prime Minister in the wake of the country's referendum vote to quit the European Union, she and her ministers have been at pains not to divulge their negotiating posi...
- Wessanen's move for Spain's Biogran - analysis
- The key questions for digital strategists in 2017
- Unilever 2016 investor day - the top takeaways
- Burger King, Jollibee: foodservice focus, Nov 2016
- Whole Foods, Aldi, M&S - retail round-up, Nov 2016
- Verlinvest, China Resources invest in Oatly
- General Mills jobs to go in business revamp
- Hain Celestial appoints Nestle executive as US COO
- Chobani COO Burns to leave yogurt firm
- Nestle invests in Italian pizza production
- How Brands Are Making Our Food Healthier
- Confectionery North America (NAFTA) Industry Guide_2016
- Processed Snacks (Savory Snacks) Market in the United States - Outlook to 2020: Market Size, Growth and Forecast Analytics
- Chocolate (Confectionery) Market in Belgium - Outlook to 2020: Market Size, Growth and Forecast Analytics
- Global Dried Processed Food Market 2016-2020