Nestle buys majority stake in Chinese group Yinlu

ZURICH: Nestle, the world's biggest food company, said Monday that it has acquired 60 percent of Chinese firm Yinlu Foods Group for an undisclosed sum.

Yinlu posted sales of 750 million Swiss francs (583.6 million euros, $836 million) in 2010, and is a specialist in ready-to-drink peanut milk and ready-to-eat canned rice porridge, said the Swiss food giant.

Nestle chief executive Paul Bulcke said the move "demonstrates our long-term investment in China and our commitment to further developing local brands."

Nestle has been present in China for over two decades, and now employs 14,000 people and operates 23 factories as well as two research and development centres in that country.