Vietnamese dairy producer Vinamilk has agreed to acquire the remaining 30% stake in California’s Driftwood Dairy.
The investment of $3 million in Driftwood brings Vinamilk’s total investment in the company up to $10 million, and its total ownership to 100%, after it initially acquired a 70% stake in the El Monte-based outfit in December 2014.
Driftwood distributes a range of dairy and foodservice products – including gourmet cheese, juices, salads, drinks, ice cream and bread.
According to Vinamilk, the investment forms part of the company’s long-term plan to clearly define its business segments and improve its industry specialisation through a programme of cooperations, mergers and acquisitions.
Earlier this year, Vinamilk CEO Mai Kieu Lien told investors that its acquisitions activity would be “intensified” to this end, according to local media.
The deal was approved by Vietnam’s Ministry of Planning and Investment just one day after Barack Obama – only the third sitting US president to visit the country since the end of the Vietnam War – arrived as part of a state visit that signals a historic healing of both diplomatic and economic ties.
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