China’s Bright Foods to Buy Control of Israel’s Tnuva to Boost Dairy Sales

China’s Bright Foods to Buy Control of Israel’s Tnuva to Boost Dairy Sales

China’s Bright Food Group Co. Ltd is in agreement with private equity firm Apax Partners LLP to buy its 56% controlling interest in Tnuva, Israel’s biggest food company for $960 million.  Chinese companies are making overseas acquisitions to meet the growing domestic demand for a broader range of high-quality foreign-brand foods.  Tnuva owns seven of the top 10 most widely known food brands in Israel and accounts for over 14% of supermarket shelf space in the country.  The deal between Bright Foods and Apax places a value of $2.5 billion on Tnuva which was formed over 80 years ago as an agricultural cooperative of 620 farming communities across Israel.  In 2012 Bright Foods also bought a 60% stake in British cereal maker Weetabix Ltd.

 

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