Korea’s Lotte Confectionery has recently acquired a bakery company in Myanmar to accelerate its expansion into the ASEAN market.
It has acquired a 80% stake in L&M Mayson Company Limited for Won 76.9 billion (US$69 million). Established in 1996, L&M Mayson operates 3 plants, 12 sales branches and 10 logistics centres in Myanmar producing biscuits, pies and bread. It is the largest bread manufacturer in Myanmar with annual sales of approximately Won 35 billion (US$31.3 million).
Myanmar has become the 3rd Southeast Asian country in which Lotte Confectionery does business. The company entered Vietnam and Singapore in 2007 and 2011 respectively. According to Lotte, the Southeast Asian confectionery and bakery market has huge growth potential as 70% of its combined population are in their 30s or younger. Myanmar alone has a population of 54 million people.