HONG KONG, Feb. 1, 2016 /PRNewswire/ -- Dah Chong Hong Holdings Limited ("DCH"; stock code: 01828) and Womai, a food e-commerce platform under China National Cereals, Oils and Foodstuffs Corporation ("COFCO"), signed a Strategic Co-operation Agreement earlier, marking the start of a strategic alliance in developing global food chain business with special focus on imported food products.
As the leading food online shopping platform in mainland China, Womai has a strong sales network and rich experience, with a well-developed cold chain storage system and high quality control standards. In addition, leveraging on COFCO's global resources, Womai has already established an extensive global food sourcing supply chain. On the other hand, DCH is a trusted trading conglomerate in Greater China, with a strong business foothold in automotive, and food and consumer products businesses. The Group has rich experience in food business and has forged a Total Food Supply Chain, covering upstream food production, midstream distribution and downstream food retailing business. Besides distributing numerous internationally well-known food brands in Hong Kong and mainland China, DCH also has the capability to source quality products around the world. Our comprehensive logistics support and seamless cold-chain network in key cities also provide strong backup for the food business.
The signing of the agreement marked an important milestone for cross-strait collaboration in the food industry. On one hand, Womai provides an e-commerce platform for DCH to distribute internationally renowned food items, with special focus on imported food, to customers in the PRC, offering them a wider product choices and a higher quality shopping experience. On the other hand, DCH enables Womai to connect with overseas suppliers directly, which widens its product offering and lowers the procurement costs. On top of the above collaborations, both parties will also explore the possibility of cooperating in cold chain and logistics business development. Through this alliance, both DCH and Womai will be able to complement each other's strength and create synergies. It is believed that DCH and Womai could join hands to develop China's food market, in turn increasing the competitiveness of both sides and enriching customers' choices.
Mr. Donald Yip, Chief Executive Officer of DCH said, "Womai is the pioneer of food online shopping platform in mainland China and we are pleased to establish this strategic partnership with them. We can complement each other's strength and create synergy upon our Food Business. Together with the optimistic outlook of China's Food Industry, we are confident this collaboration can create a greater value for both parties."
Mr. Zhao Ping-yuan, Chief Executive Officer of Womai, is also confident in this collaboration, "The establishment of this comprehensive strategic partnership will definitely create synergy and further elevate each other's overseas food service chain, providing a better choice of products, service experience and healthy life style to our customers in mainland China. At the same time, this collaboration can also stimulate the industry in optimising its food supply chain, leading to healthy competition and a win-win situation."
About Dah Chong Hong Holdings Limited (Stock Code: 1828)
Dah Chong Hong Holdings Limited ("DCH") has become a publicly listed company on the Main Board of Hong Kong Stock Exchange since 2007. DCH is a Hong Kong-based conglomerate with a diversified business portfolio in: Motor and Motor Related Business, as well as Food and Consumer Products Business which are supported by our logistics services. The Group has business operations in mainland China, Hong Kong, Macao, Taiwan, Singapore, Japan and Myanmar. DCH Group started its business in 1949. For details, please visit www.dch.com.hk.
