Nestle and Hsu Fu Chi agree sweet deal

Nestle will buy 60% of Chinese confectionery company Hsu Fu Chi International for S$2.07 billion $1.7 billion as it seeks to strengthen its foothold in China. The founding family of the Chinese confectionery company will continue to own the remaining 40% and manage the company.

Nestle’s chief executive officer Paul Bulcke is aiming to boost revenues from emerging markets to 45% of its total by 2020, up from around one-third currently. In April this year, the Swiss food company struck a similar deal to buy 60% of Yinlu Foods. Nestle and Yinlu, which had revenues in excess of $800 million, did not disclose the price of the deal. Nestle has...