Mondelēz International aims to acquire a majority stake in Evirth, a prominent Chinese manufacturer of cakes and pastries, to enhance its presence in the growing frozen-to-chilled desserts market. Founded in 2013, Evirth specializes in high-quality desserts appealing to younger consumers. This strategic acquisition leverages Mondelēz’s extensive brand portfolio to drive innovation and broaden distribution channels, meeting the rising demand for premium dessert options in China.
Mondelēz International has announced its intention to acquire a majority stake in Evirth, a leading Chinese manufacturer of cakes and pastries. This strategic move aims to strengthen Mondelēz’s presence in the rapidly expanding frozen-to-chilled desserts market, which is projected to grow at a compound annual growth rate (CAGR) of approximately 15% in a market valued at around $3 billion.
Founded in 2013, Evirth has carved a niche in producing high-quality cake and pastry products, catering to a consumer base that increasingly seeks fresh and premium options. The company’s product lineup includes popular items such as mille crepe cakes, Swiss cake rolls, and cheesecakes, appealing particularly to younger consumers in top-tier cities.
Currently holding a minority stake in Evirth, Mondelēz plans to utilize its extensive brand portfolio—featuring well-known names like Oreo and Philadelphia—to foster innovation and broaden distribution channels in China. This acquisition builds upon an existing partnership that has enabled both companies to collaborate on product development and enhance market presence.
Dirk Van de Put, Mondelēz chair and CEO, expressed enthusiasm about the acquisition, stating,
“We’re excited about the opportunity to accelerate our growth in cakes and pastries through continuous innovation, leveraging our high-value brands to create more premium tastes and formats.”
Dirk Van de Put, Mondelēz chair and CEO,
Linfeng Xu, chairman, founder, and general manager of Evirth, shared his excitement about Mondelēz increasing its investment, calling it a historic moment for the company. He noted that Mondelēz’s brand expertise, technical strength, and international network would position Evirth to better provide premium products to its customers.
This acquisition is seen as a response to the growing demand among Chinese consumers for sophisticated taste profiles and convenient snacking options. Evirth’s strong distribution network, particularly in club stores, has been vital to its rapid growth. The integration of Mondelēz’s brand experience and technical capabilities is expected to further enhance Evirth’s offerings, enabling the company to adapt to evolving consumer preferences more effectively.
The acquisition follows Mondelēz’s previous investments in the baked goods sector, including the 2020 purchase of Give & Go, a leading manufacturer of frozen-to-fresh bakery products in North America, and the 2022 acquisition of Chipita Global SA, specializing in croissants and related snacks in Central and Eastern Europe.
