Singapore-based Petra Foods, manufacturer of cocoa ingredients and branded consumer confectionary, has reached an in-principle agreement to buy a chocolate manufacturing plant and sales and distribution assets from Nestle Philippines’ and its subsidiary, Goya, for an aggregate consideration of US$5m.

This is the group’s third acquisition in the past year and it is hoped that the acquisition will strengthen the company’s regional branded consumer goods business.

The deal, which has been negotiated through Petra’s subsidiary Delfi Foods, includes the Knick Knacks and Goya brands which are popular in the Philippines. Under the agreement, Petra will retain the production, sales and marketing staff.

Petra also stated that it is currently engaged in negotiations with Nestle regarding the manufacture and distribution of Nestle brands in the Philippines.

Commenting on the acquisition, John Chuang, Petra CEO said: “We are very excited about the acquisition – from the significant opportunities it presents to the branded consumer division and the further deepening of Petra Foods’ already strong relationship with the Nestle group.”