Aryzta, which operates the Cuisine de France brand, has acquired the bakery, equipment, and the corresponding land of co-manufacturer De-Luxe Food Services from Envictus International Holdings Limited.
The option to acquire the assets was part of the original agreement with Envictus, and the move has more than doubled the company’s manufacturing capacity in Malaysia.
Aryzta Malaysian Bakery
The transaction will expand Aryzta’s Asian product capability in breads, buns and pastries, including a new product-filling capacity that will enhance product development and innovation.
The addition of this halal-certified bakery will allow Aryzta to meet its growing customer demands in the foodservice and quick-service restaurant (QSR) channels in Malaysia, and also expand its exports to other Asian markets.
The transaction aims to improve the resilience of Aryzta’s supply chain in the region with the direct ownership of the facility.
‘Strategic Expansion’
Aryzta AG’s chair and interim CEO, Urs Jordi, commented, “We are pleased to report on our strategic expansion in the growing Asian bakery market.
“This expansion is strengthening our relevant position in foodservice and QSR in this region. Our work on inflation price recovery is on track while continuing to focus on disciplined cost management, to deliver improved performance.”
The company will close and sell its bakery in Bangi, and no relevant restructuring or impairment charges will be triggered.
South-East Asia is a fast-growing market for bakery products that is forecast to grow by approximately 7-8% by 2026.
Elsewhere, Aryzta has confirmed that pricing discussions to date are progressing well, and that it is on track to reach its communicated objectives.
Read More: Aryzta Records Double-Digit Growth In European Operations In First Quarter
© 2022 European Supermarket Magazine – your source for the latest A-brand news. Article by Conor Farrelly. Click subscribe to sign up to ESM: European Supermarket Magazine.
