Maruha Nichiro, a leading seafood processor, has made a strategic move by acquiring a 9.9% stake in Kibun Foods, a company renowned for its fish paste-based products like Japanese delicacies, noodles, and desserts. This capital and business alliance agreement, valued at Y2.8bn ($18.4m), aims to enhance both companies’ food businesses.
Kibun Foods, based in Tokyo’s Ginza area, is part of the Kibun Group, with operations in seven Japanese subsidiaries and seven overseas. With annual sales revenue of Y105.6bn and net income of Y442m, the company is a significant player in the industry.
Maruha Nichiro expressed their commitment to expanding collaboration in the food industry domestically and internationally by leveraging the strengths of both companies. They aim to explore new market opportunities through joint efforts in new product development to enhance customer value and increase corporate value.
North America, Europe, and Asia are key target markets for the international sales expansion of Maruha Nichiro and Kibun Foods. The transaction is expected to have a limited impact on Maruha Nichiro’s results for the year, with forecasts of flat net sales at Y1.02trln and a net income of Y22bn.
In recent years, Maruha Nichiro has been actively investing in various food businesses globally. From acquiring tuna businesses in Japan to investing in cultured seafood startups and frozen meal producers, the company is strategically positioning itself in the evolving food and beverage industry landscape.
Overall, Maruha Nichiro’s partnership with Kibun Foods is a significant step towards mutual growth and innovation in the food and drink sector. The alliance signifies a strong commitment to exploring new market opportunities and delivering value to customers in the ever-changing food industry.
