Japanese trading house Mitsui & Co. is investing approximately 4 billion yen ($25.5 million) for a 15% stake in SATS subsidiary, Food Solutions Sapphire Holdings. This strategic partnership aims to boost the production and wholesale of frozen food across Asia, leveraging SATS’ established operations in India, Thailand, China, and Singapore. The deal is expected to finalize by September.
SATS, known for supplying in-flight meals to Singapore Airlines and other carriers, produces around 120,000 meals daily. The company’s reputation for high food safety standards and efficiency in manufacturing will be complemented by Mitsui’s extensive sales and procurement networks. This collaboration will allow SATS to diversify its offerings beyond the aviation sector, meeting the growing demand for frozen and prepackaged foods driven by Asia’s expanding middle class and urbanization.
In 2023, the two companies signed a strategic partnership to enhance their collaboration in the food industry, both within and outside Asia. In Japan, SATS’ subsidiary, TFK, already collaborates with Mitsui to distribute products to premium outlets like Kinokuniya.
The partnership signifies a move to capitalize on Asia’s booming frozen food market while ensuring compliance with diverse food cultures, including halal standards, further solidifying SATS’ position in the region.
