OSIM buys 35% stake in TWG Tea

This will be for a consideration of $31.36 million, said OSIM International.

OSIM International and TWG Tea launch a partnership on strategic expansion plans throughout Asia.

Established in Singapore in celebration of the island’s great history as a trading post for fine teas, TWG Tea is continuously intent on confirming Singapore’s historic status as the most illustrious trading post in the region, the crossroads of the Eastern sea routes. Committed to offering teas from source, TWG Tea consciously positions itself in Singapore at the epicentre of the largest and most renowned tea producing countries of the world, where it commands unparalleled access to the finest and freshest tea harvests, reinforcing Singapore’s well-established, international reputation for quality and excellence.

OSIM recognises the opportunity and forms this partnership with TWG, sharing as they do a similar vision of Singapore’s positioning in Asia. Targeting expanding Asian markets, OSIM will be a 60% majority shareholder in a newly formed joint venture with TWG Tea which will cover four countries in North Asia: China, Hong Kong, Taiwan and South Korea. This partnership meets key rationale in TWG Tea’s corporate strategy by accelerating TWG Tea’s geographical expansion across Asia, enabling TWG Tea to tap into the current growing demand for luxury Asian brands amongst middle to upper income households across the region.

Mr Ron Sim, OSIM Chairman and CEO said, “I am pleased with the successful completion of this strategic transaction as I share TWG Tea’s dynamic interest in Asian markets. Our value added investment in TWG Tea is expected to be earnings accretive since TWG Tea is one of the fastest growing luxury tea brands in the world”.

Mr Manoj M Murjani, Chairman and CEO of TWG Tea and Mr Taha Bouqdib, President of TWG Tea said, “TWG Tea is positioned as a global Singapore brand, and this partnership will offer a tremendous opportunity for us moving forward as we strategically target energetically opening TWG Tea Salons and Boutiques and developing the TWG Tea distribution infrastructure throughout Asia, all the while accelerating expansion plans into the United States and Europe to strengthen our brand presence globally”.