According to reports this morning (27 September), Chinese Food group Bright Food is in talks to purchase UK-based United Biscuits. The deal, if successful, would be the biggest overseas acquisition by a Chinese company in the food and drinks sector. Here we take a closer look at Bright Food.
- Shanghai-based Bright Food owns four listed companies; Bright Dairy & Food Co, Shanghai First Provisions Store Co, Shanghai Maling Aquarius and Shanghai Haibo Co. The firm also owns five companies with ‘The State of Agricultural Industrialization – Leading Enterprise’ designation; Bright Dairy & Food Co, NGS Supermarket Group, Shanghai Urban Agribusiness Co, Shanghai Haifeng Rice Industry Co and Shanghai Flower Port Enterprises Development Co.
- Possessing an area of 52,000 hectares, Bright Food has four large-scale modern farms in the suburbs of Shanghai, one large mechanized rice farm in Da Feng City, Jiangsu province, one tea farm and one dairy farm in Huang Shan City, Anhui province.
- The company has around 3,300 retail outlets in Shanghai and other provinces, including NGS Supermarket, Jieqiang, Shanghai First Province, All Days, Kedi, Guangmin, and Shanghai Milk-Shed food stores.
- Brands include; Guangming dairy products, Guansheyuan foods, Da Bai Tuj candy and Maling canned foods. The firm also produces Bright ice creams, Aquarius drinking water, Hejiu, Jinfeng and Shikumen rice wine, Yutang sugar, Tip Top picked foods, Haifeng rice, Aiseng pork and Shengfeng chocolate.
- In April, Bright Food tabled a bid for Australian conglomerate CSR’s sugar and renewable energy business Sucrogen. The firm however rebuffed the offer that valued Sucrogen at A$1.75bn (US$1.61bn).
- In July, Bright Dairy & Food Co announced plans buy a majority stake in New Zealand dairy firm Synlait Milk. The group said it plans to buy 51% of Synlait through acquiring 26m of the company’s shares at NZ$3.15 (US$2.23) a share. The investment would be valued at CNY382m (US$56.3m).
- Bright Food has built up a business network across China, and has established relationships with clients from around 100 countries and regions, including multinational companies such as Coca-Cola, PepsiCo, Nestle, Danone and Suntory.