PETALING JAYA: Guan Chong Bhd
’s purchase of a plant in Britain allows it to diversify into the Europe market and create a niche value chain even though earnings accretion in the near term will be minimal, according to a research house.
Guan Chong has been benefitting from the need of big chocolate makers to diversify their sources of cocoa ingredients as part of their risk management initiatives.
When compared with its bigger competitors, Guan Chong’s products are more competitively priced – providing a reason for its customers to support its entry into Britain, said RHB Investment Research.
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