Neovia has entered into exclusive negotiations to acquire a production site in Quy Nhon, located in the Binh Dinh province in central Vietnam. The company wants to consolidate its position on a Vietnamese market that it knows well, improve the coverage of its activities in the area, and confirm its goal of developing its business in Asia.
Vietnam, a historic market for Neovia that is developing rapidly
Neovia has had operations in Vietnam for over twenty years. The company currently employs 850 people and has five production sites, two research centres, six logistics platforms, two technical centres, and one analysis laboratory in the country. The company operates in all of its seven activities, mainly in complete feed production, aquaculture, and pet care.
With a population of nearly a hundred million and 18.7 million tonnes of production, Vietnam is the world 14th largest feed market, mainly for swine (world 5th largest), poultry, and aquaculture. With over twenty years of experience in the country, Neovia currently increases its investments to strengthen its industrial and commercial coverage and support the growth of the Vietnamese market (over 20% in 2016).
Neovia supports the Vietnamese growth and invests in its industrial tools
The acquisition project of the production site in Quy Nhon, Binh Dinh province (on the coast in central Vietnam, about 600 km from Ho Chi Minh City) will help Neovia increase its production capacities by 50,000 tonnes per year and consolidate its positions in central Vietnam. This region is strategically located to effectively supply a growing market estimated at over three million tonnes of feed and expand the company’s export activities to South East Asia. With this in mind, Neovia will make additional investments in the factory to continue to modernise its facilities, increase its production capacities, and offer products in line with the requirements of its livestock farming customers and distributors in the area.
In addition to this major project, Neovia is strengthening its industrial tools and service offering in general by building a new factory in Ha Nam, creating a new production line at the Dong Thap site, and expanding its storage capacities in Binh Duong.
An investment strategy in line with Neovia ambition to develop in Asia
Neovia is a world leader in animal nutrition and health with a turnover of 1.7 billion Euros and operates in 28 countries. The Group strategy is characterised by a strong investment in populated areas with a strong developing purchasing power such as South America, Africa, and especially Asia.
For H. de Roquefeuil, CEO of Neovia, “These new investment projects in Vietnam illustrate our commitment to consolidate our historical positions and to pursue targeted external growth operations. Through these projects and the acquisitions we have made in Asia over the past two years (Welgro in Indonesia, Popular Feedmill Corporation in The Philippines, and the Sanpo acquisition project in China), Neovia is strengthening its coverage in the Asian market in its seven activities to provide innovative and competitive solutions that locally respond to the growing needs of populations.”
To download the press release, click on the following link: 2017 09 28 – PR Neovia Vietnam