Puratos Group and Grand-Place Holding have finalized negotiations for a joint venture agreement in Vietnam, effective January 2013. The signing marks the start of a project that will support the growth of both groups in the region.
During the signing ceremony, which took place at the Grand-Place factory in Binh Duong, Puratos Group and Grand-Place® Holding agreed on the creation a joint venture representing a $10 million total investment (70 percent Puratos and 30 percent Grand-Place) to join forces on the Vietnamese market and within the region. The investment will cover three different lines of business: bakery, patisserie and chocolate–and will support the increase in production capacity of both groups, as well as the construction of a new distribution center in Binh Duong. There also will be a new R&D and innovation center to service local customers.
The two groups, who both have their roots in Belgium, both initially invested in Vietnam roughly 10 years ago, when the market was still fairly small and uncertain.
“With the growing population in the region and the rapid development of the bakery, patisserie and chocolate industry in Vietnam, Laos and Cambodia, this is the perfect time to strengthen our position in the market. Thanks to this joint venture, we will also be able to meet the needs of the full range of customers, from artisan, semi-industry and industry to supermarket and food service.” Piet Sanders, regional director, Eastern Europe and Asia Pacific at Puratos, said in a press release.