Nestle buys Hsu Fu Chi, the cineNestlé confectionery brand acquires full ownership of Chinese confectionery manufacturer Hsu Fu Chi. The multinational has acquired the remaining 40% of the Chinese confectionery company from the founding family Hsu for an undisclosed sum. Founded in 1992 by the Hsu family of Taiwan, the Chinese confectionery company has a production base in Dongguan, in the southern province of Guangdong.
The Swiss company acquired a 60% stake in Hsu Fu Chi, a well-known brand in China, for $1.7 billion in 2011; since then it has provided technical and marketing support for the company’s recipes, research and development, and quality control of products.
Nestlé said the transaction "will allow Hsu Fu Chi greater and easier access to Nestlé’s global brand and product resources to achieve its growth agenda": The company also states that it will be able to leverage Hsu Fu Chi’s distribution network to grow its snack and confectionery business in China.

Nestlé Greater China CEO Zhang Xiqiang said: "This move combines Hsu Fu Chi’s operational efficiency and entrepreneurship with our proven innovation and renewal capabilities, accelerates the development of the Hsu Fu Chi brand and further strengthens Nestlé’s presence in China. It also demonstrates our long-term commitment to China and strengthens our ability to grow our portfolio of international and local brands in this dynamic market".
Nestlé has been operating in China for nearly 40 years and today operates 23 factories, five product innovation centres and three research and development centres. It employs more than 21,000 people in the country.