Samyang Foods Acquires Manufacturing Business of Samyang Naturals

[Asia Economy Reporter Eunmo Koo] Samyang Foods announced on the 17th that it has acquired the agricultural product supply and flake manufacturing business division of Samyang Naturals.

Through this acquisition, Samyang Foods plans to establish an integrated system from raw material supply to the ramen manufacturing process, aiming to improve global quality management and enhance production efficiency by consolidating manufacturing operations within the group. The company held a board meeting on the 25th of last month and decided to acquire the manufacturing division of Samyang Naturals. The acquisition was completed on the 1st of this month, with the acquisition price amounting to 34.8 billion KRW.

Samyang Naturals will strengthen its role as a holding company managing group-level business activities without a manufacturing division, while Samyang Foods will focus on improving management efficiency through restructuring its manufacturing-based business structure.

In particular, Samyang Foods emphasized that this business acquisition is a proactive measure to firmly establish a global quality system in line with the completion of the Miryang plant, which serves as an export forward base. By integrating manufacturing utilities and upgrading aging facilities, the company plans to expand supply capacity and enhance the quality system of raw materials and finished products through strengthening the Hazard Analysis and Critical Control Points (HACCP) certification.

Additionally, by implementing production process data analysis, Warehouse Management System (WMS), and Manufacturing Execution System (MES), direct management of materials will become possible, which is expected to lead to cost reduction effects.

A representative from Samyang Foods stated, "Through this acquisition contract, we will directly produce raw materials for products such as Buldak Bokkeum Myun and Samyang Ramen, thereby strengthening quality capabilities and promoting business expansion into the materials sector."