TOKYO — Ajinomoto Co., Inc., a global manufacturer of seasonings, processed foods, beverages and amino acids, has agreed to acquire a 33.33% stake in Promasidor Holdings Ltd. for approximately $532 million. Headquartered in South Africa, Promasidor makes powdered milk, powdered beverages, flavor seasonings, cereals and other food products for sale in 36 countries through Africa.
“By combining Ajinomoto Co.’s extensive product development capabilities and production technologies with Promasidor’s powerful sales and distribution network in Africa, Ajinomoto Co. and Promasidor seek to become a leading player in the seasonings and processed foods business in Africa and contribute to the region’s well-being,” Ajinomoto said.
The company said the seasonings and processed foods market in Africa is expected to “grow strongly” in the future as the region’s middle-income consumer segment expands and takes a greater interest in diversification of food-related products.
Ajinomoto has had a presence in Africa for many years, establishing West African Seasoning Co. Ltd. in Nigeria in 1991, followed by Ajinomoto Foods Egypt S.A.E. in 2011 and Ajinomoto Afrique de L’ouest S.A. in Côte d’Ivoire in 2012.
In its 2014-16 medium-term management plan, Ajinomoto identified the Africa/Middle East region as one of its “rising stars” (countries and regions targeted for accelerated business expansion), along with Europe/North America.
“By accelerating business expansion in these areas as key growth drivers, the Ajinomoto Group aims to become a genuine global specialty company,” the company said.Established in 1979, Promasidor had net sales of about $673 million in fiscal 2015 and employs approximately 4,000. The company mainly operates in five countries: Nigeria, Algeria, Ghana, the Democratic Republic of Congo and Angola.