Raisio to Invest €45 Million in New Healthy Foods Facility
Finnish and international food company Raisio is investing €45 million in a production facility developing and manufacturing plant-based added value products. The investment is in response to the strong growth in demand for plant-based food, particularly in the European markets. The project is funded by the company’s strong cash position and cash flow. The investment strengthens Raisio’s position as a specialist in plant-based food and supports growth in line with the company’s strategy. Raisio specialises in healthy, responsibly produced food. Its well-known brands include, for example, Benecol, Elovena, Nalle and Sunnuntai.
Pekka Kuusniemi, president and chief executive of Raisio, comments: “This investment is the biggest one in organic growth for Raisio in decades and one of the most robust in the Finnish food sector lately. The development of the market for responsibly produced plant-based food is only beginning. Inspired by consumer insight, our special expertise and strong brands, we will develop new plant-based products.”
In line with its strategy, Raisio continues to invest in the growth of the leading, international cholesterol-lowering Benecol brand. In addition, the company will establish a European business based on the company’s strong oat expertise and plant-based food.
The new production facility will be built in the company’s carbon-neutral industrial area in Raisio. It will increase Raisio’s production agility and the company’s own production capacity. Moreover, the plant can be expanded and modified as necessary.
In the new production facility, Raisio’s focus will be on added value products in which oats and a wide variety of plant-based raw materials can be used. The investment also enables eco-friendly packages in line with Raisio’s responsibility programme. At full capacity, the factory will employ 30 to 35 people, some of whom will work in the product development. Raisio estimates that the first products made in the new factory are available in stores during 2021.
Raisio’s shares are listed on Nasdaq Helsinki. In 2018, the group’s net sales for continuing operations totalled €228 million and comparable EBIT was €26 million.
