Nippon Flour Mills has bought Californian pasta maker Costa Macaroni Mfg Co for $3.1m, or about 330 million yen, according to the Nihon Keizai Shimbun newspaper.
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Nippon Flour Mills will use Costa’s to broaden its sales territory in the US, the paper said.
Nippon Flour Mills acquired the company through its US subsidiary Pasta Montana. Pasta Montana will take over Costa production equipment, moving it to Pasta Montana plant facilities.
At present, the plant facilities of Pasta Montana are in full operation. Starting in the fall, when the move of equipment is completed, Pasta Montana products will also be produced on Costa lines.
With the purchase, Pasta Montana will have access to about 200 firms that are client companies of Costa.
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By GlobalDataTo date, Pasta Montana has sold its products chiefly in the northern region of the US West Coast, including Seattle. It hopes to broaden its reach in California with the purchase.
Costa, which was founded in 1923, sells its high-end Costa Pasta to restaurants and others. Nippon Flour Mills will aim for sales from U.S. pasta operations of 3 bn yen in three years.
