Malaysia-based Fraser & Neave Holdings Bhd (F&NHB) is to set up a new dairy factory in Cambodia.

Singapore-based Fraser & Neave Ltd, the dairy and drinks group that owns a majority stake [check] in F&NHB, said it had bought the lease for the land for the site, though it has not disclosed the location.

In a statement, Fraser & Neave Ltd said the plant will manufacture dairy products “with a focus on canned milk”.

The company, which operates across South East Asia, added the investment “underscores our unwavering commitment to the regional market” and strengthens its “established leadership position in Cambodia’s canned milk sector”.

The facility is expected to start operations in the first quarter of 2026.

In Cambodia, F&NHB markets milk products under the Teapot brand. The company also holds the local licence to Nestlé’s Bear Brand milk.

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Fraser & Neave Ltd disclosed the investment alongside its fiscal first-half results. In the six months to the end of March, the company generated profit after tax of S$125.5m (US$92.7m), up from $110.8m a year earlier.

Revenue stood at S$1.07bn, 2% higher year on year, or 6% excluding the impact of exchange rates. The company’s dairies division saw revenue rise 3% to S$594.2m, or by 7% on a constant-currency basis. Fraser & Neave Ltd’s beverages arm – which takes in beer and soft drinks – saw its revenue increase 6% to $335.6m and was up 10% when removing exchange rates from the results.

The company also has interests in publishing.