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Feihe to bring vitality to health market with Vitamin acquisition

By Wang Zhuoqiong | chinadaily.com.cn | Updated: 2017-12-22 10:25
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A bankruptcy court judge approved Vitamin World Inc's sale to Feihe International on Thursday, a move that will help the Chinese baby formula company to expand its range to the nutrition and health business.

Vitamin, the third-largest nutritional supplements retailer in the United States, announced on Thursday that it will be acquired by China's leading infant and toddler formula milk company Feihe International for $28 million.

Vitamin World filed for Chapter 11 bankruptcy in September.

According to Feihe International, the two will join hands to develop the health market.

"While continuing to focus on infant and baby formula milk, Feihe is ready to explore the health and nutrition market in China, which has great potential and has answered to the dynamic demands from affluent Chinese consumers," Leng Youbin, chairman of Feihe International, told China Daily.

Vitamin World's diversified product portfolio—more than 600 products including vitamin and herbal products, as well as its industrial leading management, will bring valuable assets to Feihe as it strives the domestic health market, said Leng.

The firm plans to introduce imported and high-end health and nutrition products to the Chinese market. Feihe will have an independent team to operate its health sector.

Michael Madden, CEO of Vitamin World Inc, said this cooperation will help Feihe to provide high-end nutrition products for consumers of all ages.

Vitamin World has 156 retail stores in the major cities in the United States, including New York, Los Angeles and Florida. It also sells products through its e-commerce platform. Feihe said they will keep the remaining stores in the United States, which will serve as a good platform for Feihe to expand to the US market.

Feihe is the largest domestic-brand baby formula supplier in China, and registered for an initial public offering on the Hong Kong stock exchange this year.

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