Global investment firm KKR has invested in Chinese dairy company, Adopt A Cow, as part of a funding round co-led by KKR and DCP Capital.
Adopt A Cow is a direct-to-consumer (DTC) dairy company with a vertically integrated business model.
With operations spanning alfalfa growing, dairy farming, milk processing and technology-enabled marketing, the company produces and sells a range of milk, yogurt and cheese products.
Over the past five years, Adopt A Cow has become one of the fastest growing DTC brands in China, according to KKR.
The company will use the new capital to accelerate the construction of modernised dairy farms and smart production factories.
A portion of the funds will also be spent on bringing in Australian dairy cows and further integrating Adopt A Cow’s digital operation platform to enhance efficiency, and improve product quality and brand competitiveness.
“Today marks an exciting new chapter for Adopt A Cow as we accelerate our strategy to bring our high-quality dairy products to more consumers in China,” said Xu Xiaobo, founder of Adopt A Cow.
“KKR has a proven track record of investing in the dairy sector and providing value-added operational support to homegrown technology champions, and we look forward to working with them to take Adopt A Cow to its next level of success.”
Karen Zhang, who leads KKR’s technology strategy in China, added: “China’s economic growth is benefitting from the expansive and rapid adoption of digital technologies that are bringing convenience into people’s everyday lives.
“This is creating attractive opportunities to support the innovative Chinese companies, like Adopt A Cow, that are transforming their industries for the digital economy.”
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