Samyang Foods, which is causing a "fire chicken wave" overseas, will establish a production base in China.
On the 16th, Samyang Foods announced it will establish a new corporation, Samyang Singapore Limited (tentative name), by investing approximately 64.7 billion won. This amount represents 11.2% of Samyang Foods' equity.
The investment will be conducted in partitions by December 31 of next year. The official name and representative of the issuing company will be confirmed upon completion of the corporate investment. The investment funds will be fully raised in cash, and Samyang Foods will own 90% of the equity in the newly established corporation.
The new corporation will serve as an investment hub for entering overseas markets. Through the Singapore corporation, they plan to establish a Chinese production corporation and build a local factory to operate in the Chinese market.
Once the factory in China is completed, Samyang Foods will be able to diversify its production bases. This could also resolve issues related to supply shortages. Samyang Foods began constructing the domestic Miryang Plant 2 in March. The factory is expected to be completed by the first half of next year.