Chinese dairy firm, Junlebao has disclosed plan to acquire a 30% stake in a yogurt drinks chain in order to boost the company revenue.
With the acquisition, Junlebao will become a stakeholder in Shijiazhuang-based More Yogurt. Both partners will collaborate in the supply of raw materials for dairy products, development of new products, food security, and operation and management.
More Yogurt is China’s largest freshly-made yogurt chain. It owns more than 1,600 stores nationwide, two-thirds of which are in first- and second-tier cities. Junlebao is China’s biggest low-temperature yogurt maker. It has 25 factories and 25 large modern pastures in the country.
The 2 dairy companies are in complementary business, with Junlebao becoming a yogurt supplier of More Yogurt, opening terminal retail channels directly to consumers, while More Yogurt will use Junlebao’s research and development expertise to upgrade its business.