Specialty ingredient provider, Ingredion, announced it has entered into a definitive agreement with Pingyuan County Juyuan State-Owned Asset Management Co. Ltd to acquire the state-owned Shangdong Huanong Specialty Corn Development Co. Ltd in Shandong Province, China for an undisclosed amount.
The deal, which has been approved by the company’s board of directors, will expand Ingredion’s presence and specialty ingredient business in China and provides a springboard from which to launch its expansionary efforts into Asia Pacific.
"China is a growing market for our specialty starches, and this acquisition provides a base for further expansion to accommodate future market growth in China and across Asia Pacific," said Jorgen Kokke, Ingredion senior vice president and president, Asia Pacific and EMEA, in a company statement.
Igredion is a global leader in ingredient solutions, processing corn, tapioca, potatoes, and fruits and vegetables into value-added biomaterial for the food, beverage, paper, and brewing industries with sales in over 100 countries.
Commenting on the deal, Madame Wang Hong Xia, Head of Pingyuan County said, "We welcome Ingredion as an investor in Pingyuan County. Their investment provides excellent growth and development opportunities for the work force and local economy."
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