-By significantly increasing investment in China, we aim to strengthen our leadership position in the baking food category
-Further meet the demand of young consumers in China's high-end market for fresh and high-quality baked goods
-We will continue to launch new Oreo and Fila brand products and expand market distribution
Mondelez International announced today that the company has signed an agreement with Enxi Village (Shanghai) Industrial Co., Ltd., a leading bakery manufacturer in China, to significantly increase its equity investment in Enxi Village. This move marks another important step for Mondelez International in its strategy to accelerate growth in the Chinese market by focusing on the baked goods category.
The frozen baked goods category in China has enormous potential, and Chinese consumers are increasingly inclined to choose fresh, high-quality, innovative and exquisite snack products to meet the increasingly diverse scene demands. Previously, Mondelez International had collaborated with Enxi Village to jointly develop, produce, and market frozen baked goods under iconic brands such as "Oreo" and "Feli". Under the cooperation of both parties, Enxi Village has achieved rapid growth and accumulated strong R&D and technical expertise in related categories. Mondelez International's additional investment this time will significantly increase its investment in the frozen baked goods category, strengthening its leadership position in this sub category.
The increased investment in China this time is another important move by Mondelez International in its global layout in the baking food industry. In April 2020, Mondelez International acquired North American frozen baked goods manufacturer Give& Go， Its main products include brownies, cookies, cupcakes, and related baked goods; In January 2022, Mondelez International acquired Chipita Global SA, one of the leaders in the Central and Eastern European markets for croissants, cake rolls, and related frozen baked goods.
Fan Ruisi, President of Mondelez International Greater China, said, "We are delighted to have the opportunity to expand our cooperation with Enxi Village. Enxi Village is a well deserved leader in China's frozen baked goods industry. I have great respect for the Enxi Village team. I believe that through our joint cooperation and continuous innovation, we have the ability to provide better and superior products to Chinese consumers. I am confident in our shared future.
Xu Linfeng, founder of Enxi Village Industrial, said, "We are delighted that Mondelez International can increase its investment in Enxi Village. This is a historic moment for Enxi Village. By introducing Mondelez's brand experience, technological strength, and international network, Enxi Village can better provide our customers and consumers with first-class products. I am very much looking forward to working with Mondelez.
The investment and transaction still need to meet some customary delivery conditions, including obtaining approval from government regulatory authorities.
About Yizi International
Mondelez International (NASDAQ: MDLZ) provides consumers with truly good snacks in over 150 countries and regions worldwide. The company's net income for the full year of 2023 is approximately $36 billion. Mondelez International leads the future of the global snack industry, with numerous globally iconic brands and local market star brands under its umbrella, including Oreo, LeEco, L'Oreal, Cliff Energy Bar, Tate Bakery and other biscuit and baked goods brands, as well as chocolate brands such as Cadbury, Maca and Triangle. Mondelez International is a constituent stock of the S&P 500 Index, NASDAQ 100 Index, and Dow Jones Sustainability Index.
About Enxi Village
Enxi Village was founded in 2013 and is a large-scale enterprise specializing in the research and development, production, and sales of mid to high end frozen baked goods. It mainly provides a wide range of baked goods such as thousand layer cakes, cake rolls, mousse cheese egg cakes, puffs, ice cream, cookies, and pre made bread to many high-quality channels such as membership stores, retail chains, catering chains, and new retail. As a leader in the domestic frozen baking food industry, Enxi Village has built its own frozen baking factories in Shanghai, Shenzhen, and Dongguan, and introduced advanced intelligent production line equipment from Japan and Europe to create a large-scale, automated, and industrialized production system. Enxi Village adheres to the core values of "focus, quality, and innovation" and is committed to providing healthy and delicious baked goods to global consumers!