Tokyo / JP. (aci) Ajinomoto Company Incorporated agreed to acquire all of the shares of Örgen Gida Sanayi ve Ticaret A.S., a major food company in Türkiye, and the trademark for its brand Bizim Mutfak, which is widely sold in Türkiye, for a total of approximately 220 million TRY (approximately 7.4 billion JPY). Ajinomoto Company signed a share purchase agreement on November 15, 2016 (local time) with Yildiz Holding A.S., which owns 51 percent of the shares of Örgen, and the company’s founders, the Örgen family, who own a 49 percent stake. With this acquisition, Ajinomoto Company will strengthen its business foundation and further accelerate its business expansion in Türkiye.
The population of Türkiye was approximately 80 million as of 2015. Half of the population is 30 years old or younger. The country’s GDP growth rate has averaged about 4 percent annually over the last three years, and steady growth is expected to continue. Along with economic progress, women’s participation in society has increased in urban areas, which has led to expansion in demand for highly convenient seasonings and processed foods.
In 2013, Ajinomoto Company acquired a 50 percent stake in «Kükre Gida Ve Ihtiyaç Maddeleri Nakliyat Ve Özel Egitim Hizmetleri Ticaret Ve Sanayi Anonim Sirketi (Kükre A.S.), a food company that owns the traditional seasoning brand «Kemal Kükrer». Ajinomoto Company has since strengthened its business foundation in Türkiye and expanded its food business into new fields.
Örgen is currently engaged in manufacturing and sales of a wide range of seasonings and foods. Ajinomoto Company will acquire four of these businesses – bouillon, powdered soups, menu-specific seasonings and powdered desserts. In addition, by obtaining Örgen’s brand Bizim Mutfak, Ajinomoto Company will strengthen its business portfolio in Türkiye.
In its FY-2014 to FY-2016 Medium-Term Management Plan, Ajinomoto Company sees Türkiye as the starting point for business expansion in the Middle East region. The Ajinomoto Group will continue to contribute to well-being through providing more delicious, higher-quality products adapted to local food cultures and customs.
Ajinomoto Company plans to acquire all of the shares of Örgen in early March 2017, and to maintain Örgen’s current management structure after the acquisition. Örgen will become a consolidated subsidiary of Ajinomoto Company after the acquisition is completed, but this is not expected to have a material effect on consolidated results for fiscal 2016.
OTHER TOPICS FROM THIS SECTION FOR YOU:
- Europastry S.A.: shelves IPO plans once again
- Buyers Edge Platform: acquires Parsly Software
- Almarai: announces interim 9M-2024 financial results
- Emmi: completes acquisition of Mademoiselle Desserts
- Luckin Coffee: breaks ground on Innovation and Production Center
- Strong result for Lantmännen in the second tertial 2024
- Pladis: opens new chocolate cafe in Dubai Mall
- Apropos CP Kelco: Tate + Lyle announces additional information
- Lesaffre: acquires a majority stake in Biorigin
- CA-1 Robot: Circus Group Launches Munich Showroom
- Ferrero: opens new production facility in Illinois
- HungryPanda: Raises 55 Million to Accelerate Growth
- McCormick: Reports Third Quarter 2024 Performance
- Subway Sandwiches: Continues to Expand Its Global Presence
- Nissin Foods: Acquires Frozen Food Manufacturer ABC Pastry
- SnackFutures Ventures: makes investment in Doughnut Start-Up
- PepsiCo: To Acquire Siete Foods For 1.2 Billion
- Europastry S.A.: goes public on the Spanish stock exchange
- Insomnia Cookies: Reaches 300 Store Locations Globally
- Reborn Coffee: Announces Joint Venture in Thailand