SATS signs investment deal to build central kitchen in Tianjin
SINGAPORE (Nov 19): SATS's subsidiary SATS China Co has entered into an investment agreement with Tianjin Wuqing Hexiwu town government to construct and operate a central kitchen in Hexiwu Town Food Zone.
SATS is one of Asia’s leading provider of gateway services and food solutions. Under the agreement, SATS China Co will incorporate a subsidiary in Tianjin with a registered capital of RMB 120 million ($23.7 million) to build and operate a central kitchen on land of 20,000 sqm.
The Tianjin Wuqing Hexiwu town government will assist SATS China with regulatory documentation required to get the project off the ground. If the relevant construction permits are granted, SATS will be required to complete construction of the facility within two years from the date of the relevant permits.
Alex Hungate, President and CEO of SATS, says, “We are pleased to be offered the opportunity to build and operate a central kitchen in Tianjin. This is in line with SATS' vision to build a network of central kitchens in China to serve our customers in the fast casual restaurant and aviation industries.”
Year to date, shares in SATS are down 7.6% to close at $4.85 on Monday.
