Vietnam’s Nutifood acquires 51% stake in ice cream maker Kido Foods

Vietnamese nutritional products maker Nutifood Nutrition Food JSC (Nutifood) has successfully acquired a 51% stake in Kido Frozen Food JSC (Kido Foods).

Nutifood announced the acquisition on Monday, saying it would broaden the company’s focus from nutrition to products favored by families nationwide.

Kido Foods, a member of Kido Group, is one of the largest ice cream producers in Vietnam, boasting two popular brands, Celano and Merino.

Entering the market in 2003, Kido Foods has become a market leader in ice cream production and sales, maintaining its dominant position for almost two decades.

According to Euromonitor, Kido Foods has shown impressive sales growth each year to hold more than 40% of the Vietnamese market share from 2019 onwards, despite fierce competition from both domestic and international players.

In 2023, Kido Foods led Vietnam's ice cream industry with a market share of 46.7%. Notably, its two brands, Merino and Celano, accounted for 25.9% and 19.6% of the market share, respectively, ahead of second and third-ranked competitors.

Kido Foods' smart strategies, deep understanding of consumer preferences, and effective business practices have been credited for its success, Euromonitor said.

Currently, Kido Foods operates two modern processing facilities equipped with advanced technology and machinery imported from Europe and Japan. These are located in Ho Chi Minh City’s Cu Chi district and at the VSIP industrial park in Bac Ninh province. In addition to ice cream, Kido Foods is recognized for producing delicious, high-quality, nutritious yogurts.

Nutifood vice chairman Tran Bao Minh said: "Investing in Kido Foods will allow Nutifood to broaden its focus from healthy nutrition to products that provide delightful enjoyment for families.

"It would also help us leverage an extensive distribution network of frozen goods, with hundreds of thousands of ice cream cabinets reaching traditional and modern retail outlets, restaurants, hotels, and entertainment venues across the country. This foundation will enable Nutifood to quickly and effectively expand its frozen goods segment."