Society

Nestle expands in China through Yinlu offerings

(Agencies)
Updated: 2011-04-18 15:37

GENEVA - Swiss food and beverage giant Nestle S.A. is expanding its reach in China by acquiring a controlling stake in Yinlu Foods Group for an undisclosed amount.

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The Vevey, Switzerland-based company said Monday it is taking a 60 percent stake in the well-known Chinese brand that already is a co-manufacturer for Nescafe instant coffee in China.

The deal lets Nestle, the world's largest food and beverage company, expand its instant food products in a fast-growing market.

It said the transaction is subject to regulatory approval in China. Other details including the price of the deal are not being disclosed.

Nestle has operated in China for 20 years and said it is retaining Yinlu's chairman, Chen Qingyuan, to lead his family-owned company in the new partnership.