Major Japanese meat and ham maker, Prima Meat Packers Ltd. is acquiring Singapore’s homegrown processed meat producer, Rudi’s Fine Food Pte. Ltd. as the former seeks to expand into the ASEAN region.
Prima has concluded an agreement with Delikatessen Ltd., a special-purpose vehicle backed by Dymon Asia Private Equity (S.E. Asia) Fund, L.P., and Rudi’s founders Rudi and Bessie Ahl to acquire Rudi’s entire outstanding shares for an undisclosed amount.
Once the proposed acquisition is completed, Singapore will become Prima’s 3rd overseas operational base after Thailand and China, where the Tokyo-based firm operates factories. In China, Prima also has a production and sales arm.
Rudi’s has established itself as a maker of high-quality sausages and hams with a European taste and leads the deli meats industry in the tiny island nation. Prima will make and sell Rudi’s products after the acquisition. It also plans to sell Prima products made at its Japanese and Thai plants through Rudi’s local network and jointly procure raw materials while aiming to boost productivity by utilising Prima’s production know-how.
A Prima spokesperson said, “In the Singaporean market alone, we can anticipate profitability because of high-level household incomes and big consumption spending. After the acquisition, we will endeavor to understand Rudi’s operations for the time being and later consider sending staff (from Japan).”
Prima also plans to tap into neighbouring countries through its strategic Singapore base.