De Heus to fully take over Masan's feed business

November 05, 2021 | 20:45
De Heus Vietnam signed a strategic agreement with Masan, pursuant to which De Heus will obtain control of the feed-related business of MNS Feed, that is 100 per cent in ANCO and 75.2 per cent in Proconco.
De Heus to fully take over Masan's feed business
De Heus will fully take over Masan's feed business

The strategic agreement follows the recent signing of an MoU between De Heus Vietnam and Masan on September 14, aiming to raise the productivity of the animal protein value chain in the country. The latest deal is expected to support De Heus’ ambition to offer high-quality nutrition, genetics, and farm management solutions to the Vietnamese market.

The feed business of MNS Feed under Masan covers thirteen animal feed mills and one premix plant, with a total combined production capacity of nearly four million tonnes, strengthening De Heus’ position in Southeast Asia’s largest animal feed market.

As part of the transaction, De Heus and Masan have also agreed on multiple long-term strategic supply agreements for the supply of feed and pigs by De Heus to Masan. Accordingly, De Heus will supply Masan MEATLife with a steady flow of healthy, high-quality pigs sourced from its feed customers, leveraging the strategic partnership De Heus has developed with Topigs Norsvin, one of the world’s leading swine genetics companies.

In line with the MoU, the cooperation further validates the parties’ joint commitment to professionalise the farming sector and drive productivity in the entire animal protein value chain.

Johan van den Ban, general director at De Heus Vietnam and Cambodia commented, "Looking ahead, De Heus will continue to develop new value chain initiatives, focused on safeguarding product quality and improving the position of the livestock and aquaculture farmers and dealers. This transaction will accelerate the implementation of our commitment to bring the animal protein value chain in Vietnam to a higher level in terms of food safety, productivity, and sustainability. Together with independent farmers, our feed distributors, employees, and strategic partners we are ready for further growth and success.”

The combined feed organisation of De Heus and MNS Feed will become the largest animal nutrition company active in the Vietnamese independent feed market. De Heus has more than 100 years of nutritional experience and more than a decade of dynamic growth in Vietnam, while MNS Feed is a pioneer in animal nutrition with successful heritage brands.

The transaction will take effect upon receiving the customary regulatory approval by the year-end.

By Thanh Van

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