News Release
Business
FUJI OIL HOLDINGS
Announcement of Joint Venture Establishment in India
2013.12.19
| Today, the Board of Directors of Fuji Oil Co., Ltd has resolved to establish a joint venture with 3F Industries Ltd., an Indian vegetable oil manufacturer formerly known as Foods Fats & Fertilizers Ltd., (hereafter “3F”). The new enterprise will be called 3F Fuji Foods Private Limited (tentative) to be located in Andhra Pradesh, India, for manufacturing and sales of oil and fat processed foods. |
| 1. Objectives of Establishment |
|
The Fuji Oil Group makes efforts to develop products fitting the needs of customers, deliver high-functionality ingredients, and to reduce production costs, by positioning “promotion of global management”, “technological management”, and “sustainable management” at the core of its middle term business plan “Global & Quality 2013.” Expansion within the Asian market being one of the key focuses for the Group’s promotion of global management, it has decided to establish a joint venture with major Indian vegetable oil manufacturer 3F in the effort to expand operations in India which is anticipated to continue growth for the upcoming years. 3F is a prominent company headquartered in Andhra Pradesh in southeast India, which manufactures and sells vegetable oil products through its extensive sales network across the country. The joint venture will leverage Fuji Oil’s product development and production engineering strengths together with 3F’s sales capability to penetrate the Indian market. |
2. Outline of the Joint Venture
| (1) Name | 3F Fuji Foods Private Limited (tentative) | ||||||
|---|---|---|---|---|---|---|---|
| (2) Location | Andhra Pradesh, India | ||||||
| (3) President | Personnel assigned by Fuji Oil | ||||||
| (4) Date established | January 2014 (plan) | ||||||
| (5) Description of business | Manufacturing and sales of creams for confectionaries and bread ingredients, other processed oil and fat products | ||||||
| (6) End of fiscal year March 31 | |||||||
| (7) Capital | Maximum of INR 400 million (approx. \640 million) | ||||||
| (8) Shareholders |
| ||||||
| 3. Outline of 3F | |
| (1) Name | 3F Industries Ltd. |
| (2) President | Sushil Goenka |
| (3) Net sales (FY ended Mar 2012) | INR 5.92 billion (approx. \10.1 billion) |
| (4) Net assets | INR 1.24 billion (approx. \2 billion) |
| (5) Date established | 1960 |
| (6) Location | Andhra Pradesh, India |
| (7) Description of business | Manufacturing and sales of vegetable oils |
| (8) Number of employees | 1,000 |
| (9) URL | http://www.fff.co.in/ |
| 4. Impact on Business Performance |
| The impact on Fuji Oil’s consolidated financial results for the financial year ending March 31, 2014 following the establishment of joint venture is expected to be minimal. |
End of report