Chocolate and cocoa based ingredient maker Petra Foods Limited announced today (Tuesday) that it has successfully completed a joint venture agreement with Malaysian conglomerate, Sime Darby.

The joint venture company, Petra Sime Marketing Pte Ltd, will acquire Sime Darby’s consumer distribution business, which distributes healthcare products and wine and spirits to retail outlets and other institutions in Singapore.

Under this agreement, Petra Foods will gain access to Sime Darby’s established distribution channels and customers in Singapore, to further grow its branded chocolate confectionery business.

Petra Foods will hold a 60% stake in Petra Sime while Sime Darby will own 40%.

“This is a win-win agreement for both parties. Sime Darby is Malaysia’s leading conglomerate, with a solid brand, well-known for its leadership position in a whole slew of industries and we are clearly excited about this partnership,” said John Chuang, CEO of Petra Foods. “It will strengthen our revenue contribution as the deal offers immediate economies of scale, enlarged market share and a greater revenue stream.”