URC ties up with European snack maker to boost Oceania operations
MANILA, Philippines – Gokongwei-led Universal Robina Corporation (URC) is seeking to expand its operations in the Oceania snack food market by partnering with European firm Intersnack Group through a subsidiary.
In a regulatory filing on Monday, July 8, URC said its British Virgin Islands subsidiary URC Oceania Company Limited has sold 40% of URC's businesses in Australia and New Zealand.
"Leveraging on URC and Intersnack's know-how from their respective markets will yield best practices in manufacturing, supply chain, and sustainability practices, setting the groundwork for an even larger and more efficient Oceania operations," the disclosure read.
"Through this transaction, URC monetizes some of the synergies it has generated from its early investments in Australia and New Zealand, while still retaining control and its ability to further create value within and beyond [Australia and New Zealand]."
The transaction, which will be in a mix of cash and shares of Intersnack's Australian unit Yarra Valley Snack Foods Proprietary Limited, will be completed once the parties get approval from the Australian Foreign Investment Review Board and the New Zealand Overseas Investment Office.
Internsnack Group operates in 24 countries, and holds mostly first and second place in terms of market share. Like URC, the company makes products such as popcorn, nuts, as well as potato and tortilla chips. – Rappler.com