Neovia is one of the biggest pet food players at world level. It has developed a pet food activity in Asia since 2014 (Vietnam, the Philippines). Sanpo is the fifth largest player on the Chinese pet food market. Therefore, this acquisition demonstrates Neovia’s confidence in the growth potential of the Chinese pet food market.
China is a fast growing pet food market
Globally the pet food market is estimated at $80 billion and has been growing steadily for several years, particularly thanks to the rapidly growing demand in the major emerging countries such as China. Indeed, China now has more than 28 million dogs and 12 million cats. It also has one of the highest growth potentials in the sector, with a $1.5 billion pet food market.
Neovia takes a majority stake in the fifth largest pet food player in China
Established in 1991, Sanpo is a family owned company that ranks among the top 5 pet food producers in China. The company employs about 270 people. Additionally, it has a production plant in Tianjin and sales offices in the country’s top 10 cities.
Key player on the Chinese pet food market, Sanpo relies on a portfolio of products that covers all market segments and on an extensive and diversified distribution network.
According to Hubert de Roquefeuil, CEO of Neovia: “the acquisition of a majority stake in Sanpo is in line with our twofold desire to strengthen our pet food business line and to accelerate our development in Asia.”
300 people invited to celebrate the official signing of the strategic partnership
The official signing of Neovia’s majority stake in the company took place on October 26. Sanpo gathered more than 300 people, including a large number of suppliers and a hundred distributors.
“We are full of enthusiasm regarding the entry of Neovia into Sanpo’s capital. It will allow our company to accelerate its investments in China, as the construction of a “state of the art” plant, and benefit from the key expertise of a major player in the pet food and animal nutrition sector” said Jiang Chao, Managing Director of Sanpo.