Investcorp completes its fourth food investment as part of its growth strategy in Asia by investing in Mo Xiaoxian, a leading instant food brand in China

10 Dec 2021

Investcorp, a leading global provider and manager of alternative investment products, today announced that funds managed by a joint venture established by Investcorp, China Resources Capital Management and Fung Strategic Holdings Limited completed an investment in Mo Xiaoxian, a leading instant food brand in China (the “Company”). The transaction was concluded through the Asia Food Growth Fund I (the “Fund”), a dedicated private equity fund investing in a diversified portfolio of food related companies in Asia.

The “Mo Xiaoxian” brand was established in 2017 and offers diversified products including innovative self-heated hotpot, and rice dishes, as well as instant vermicelli and noodles. It has become [one of the top selling brands in the self-heating hotpot category on Taobao, an e-commerce distribution channel in China.

Headquartered in Shanghai, the Company employs around 200 employees and has a multi-channel sales network of online and offline distributions with over 700 distributors and a presence in over 46,000 retail outlets.

Hazem Ben-Gacem, Co-CEO of Investcorp and Chairman of the Investment Committee for the Asia Food Growth Fund I, commented: “We are delighted to have made another investment through our Asia Food Growth Fund I. At Investcorp, we seek to invest in brands that benefit from the current shifts in consumption and with China’s growing middle class we see attractive opportunities in the innovative instant food brand sector. The investment in Mo Xiaoxian is the right fit for the Fund’s strategy as we continue to expand in Asia, and we look forward to working closely with the Company’s management team in realising its full potential.”

The transaction marks the fourth investment that the Fund has made, following investments in Viz Branz, City Super Group and Heritage foods.

Investcorp has established a joint venture with China Resources Capital Management, the private investment arm of China Resources Group, a Fortune Global 500 enterprise and owner of China’s largest supermarket chain Vanguard, and Fung Strategic Holdings Limited, a member of the private investment arm of the families of Victor Fung and William Fung. The investment platform primarily focuses on seeking to capture the growth potential and opportunities in Asia’s highly fragmented food and beverage sector.