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Freedom Foods seals deal with Alibaba

Freedom Foods ASXAustralian company Freedom Foods has announced a partnership with Alibaba-owned Theland New Cloud Digimart Co.

The latest deal was signed during the China International Import Expo in Shanghai. Theland’s product range includes meat, dairy, water, cereals and supplements.

“We have a good footprint here in China and it is strategic long term partnerships like this with Theland that will help us continue our strong trajectory,” Freedom Foods managing director and CEO Rory Macleod said. “What we’re seeing is changing preferences and tastes from Chinese consumers who are increasingly looking to healthy Western breakfast and snacks formats.”

Theland will become the exclusive distributor of Arnold’s Farm branded cereal and snack products both online and offline in China. Its oat cereal is currently ranked in the top three on Alibaba’s Tmall. The China-based joint venture will help to develop and market the Arnold’s Farm brand across a wider capability of cereal and snack formats. The joint venture includes a Chinese language trademark for Arnold’s Farm and will oversee all sales marketing and distribution of the Arnold’s Farm range of products in China.

This latest move is set to expand the cereal and snacks range category in China. Currently, Arnold’s Farm product range are available at 4,000 outlets in the country. The deal will be similar to the strategic equity partnership signed between Freedom Foods and JLL for Australia’s Own Kids Milk.

Freedom Foods has commenced supplying a2 protein milk products in UHT format to Theland under its own brand. The company is expected to launched more milk products in 2019.

Theland is majority owned by the Alibaba Group including Shanghai Yunfeng Xinchuang Investment Management Ltd., backed by Alibaba’s founder and Chairman Jack Ma, and Alibaba China Network Technology Co. The balance of the Company is owned by management and the Pengxin Group.

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