Dive Brief:
- Mondelez International has acquired a majority stake in the snack unit of Vietnamese food manufacturer Kinh Do.
- The $370 million deal gives the maker of Oreos and Trident an 80% stake in the unit, with an option to acquire the remaining shares.
- Mondelez acquires control of two production facilities and an extensive distribution network in the deal.
Dive Insight:
The purchase comes as Mondelez struggles to find growth in its core markets. Just days ago the company announced a dramatic drop in profit and a renewed emphasis on cost cutting. As we noted then, what Mondelez really needs is some growth. And it would appear the company hopes to find some by buying a successful company in a market where it has struggled.