View all newsletters
Receive our newsletter - data, insights and analysis delivered to you
  1. News
July 2, 2021updated 05 Jul 2021 8:47am

Hong Kong sauces group Heritage Foods gets backing from Investcorp

The group owns well-known sauce brands in Japan, Malaysia, Singapore and China.

Heritage Foods, a supplier of condiment and sauce brands operating in Asia, has been backed by investor Investcorp.

Free Report
img

What’s the forecast for the food and grocery industry?

The food and grocery sector thrived during the pandemic, largely due to the shutdown of the food service industry and the sector’s subsequent necessity, panic-induced bulk purchasing, and spending more time at home. The market has grown as a result of inflation. Consumer unwillingness to go out and socialize, and the reopening of several hospitality facilities, helped maintain the demand for groceries, particularly online, in 2021. As consumer behavior changes, we consume more food and drink at home, and inflation increases basket sizes. GlobalData predicts that the sector will continue to hold a higher share than had been predicted prior to the pandemic. This is true despite the fact that the food and grocery sector's share of overall retail will decline from its peak in 2020. This report will discuss market forecasts and key themes in the global food & grocery industry in 2022 and beyond. It covers:
  • Market drivers and inhibitors
  • Five-year forecasts and the impact of COVID-19
  • The performance of the online channel versus offline
  • Major trends in the market including rapid delivery, ambient retailing, supply chain disruption, and inflation
Assess developments within this sector to help your business thrive in 2022 and beyond.
by GlobalData
Enter your details here to receive your free Report.

Hong Kong-based Heritage, which has operations in China, Singapore, Malaysia and Japan, was established in 2015 and is, Investcorp said, “principally involved in the investment and reorganisation of food businesses in Asia and the acquisition of food brands with a strong Asian heritage”.

It employs more than 300 people and has a network of more than 30 distributors in China, south-east Asia, south Asia, the Middle East, Europe and the US. Its brands include Hamada Shoyu in Japan, Bidor Kwong Heng in Malaysia and Woh Hup Food in Singapore.

Bahrain-headquartered Investcorp said the transaction was concluded in partnership with China Resources and Fung Strategic Holdings and made through its Asia Food Growth Fund I, a private-equity fund investing in food-related companies in Asia.

Hazem Ben-Gacem, co-CEO of Investcorp and chairman of the Asia Food Growth Fund’s investment committee, said: “We believe that the Asia food sector continues to offer attractive growth opportunities and we see that Heritage Foods is poised to achieve significant scale.

“The global sauces and condiments market size is estimated to be at US$130bn and is growing at 5-6% CAGR, with Asian sauces accounting for over 50% of the global market.

“We see attractive macro trends in Asia’s rising middle class, high household consumption of sauces and rapid growth in casual dining, further driving market growth.”

The transaction represents Investcorp’s 21st investment in the food and beverage industry in over three decades and is the third that it has made as part of its Asia Food Growth Fund I, following the investments made in Viz Branz and City Super Group last year.

Just Food has asked for further details, including the size of stake Investcorp has taken in Heritage and the stakes now held by existing shareholders.

Related Companies

Free Report
img

What’s the forecast for the food and grocery industry?

The food and grocery sector thrived during the pandemic, largely due to the shutdown of the food service industry and the sector’s subsequent necessity, panic-induced bulk purchasing, and spending more time at home. The market has grown as a result of inflation. Consumer unwillingness to go out and socialize, and the reopening of several hospitality facilities, helped maintain the demand for groceries, particularly online, in 2021. As consumer behavior changes, we consume more food and drink at home, and inflation increases basket sizes. GlobalData predicts that the sector will continue to hold a higher share than had been predicted prior to the pandemic. This is true despite the fact that the food and grocery sector's share of overall retail will decline from its peak in 2020. This report will discuss market forecasts and key themes in the global food & grocery industry in 2022 and beyond. It covers:
  • Market drivers and inhibitors
  • Five-year forecasts and the impact of COVID-19
  • The performance of the online channel versus offline
  • Major trends in the market including rapid delivery, ambient retailing, supply chain disruption, and inflation
Assess developments within this sector to help your business thrive in 2022 and beyond.
by GlobalData
Enter your details here to receive your free Report.

Topics in this article: ,
NEWSLETTER Sign up Tick the boxes of the newsletters you would like to receive. A weekly roundup of the latest news and analysis, sent every Friday. The industry's most comprehensive news and information delivered every other month.
I consent to GlobalData UK Limited collecting my details provided via this form in accordance with the Privacy Policy
SUBSCRIBED

THANK YOU

Thank you for subscribing to Just Food