Royal De Heus Completes Acquisition of CJ Feed & Care in Major Asian Expansion
Royal De Heus Animal Nutrition has finalized its acquisition of CJ Feed & Care from CJ CheilJedang, a move significantly expanding its presence across Asia. The deal, valued at approximately $854 million, encompasses operations in Vietnam, Indonesia, South Korea, Cambodia, and the Philippines, adding 17 feed mills and numerous livestock operations to De Heus’ portfolio.
Strategic Expansion into Key Markets
The acquisition strengthens De Heus’ foothold in existing markets – Vietnam, Indonesia, and Cambodia – while simultaneously granting entry into the strategically critical markets of Korea and the Philippines. This expansion aligns with De Heus’ long-term growth strategy and commitment to supporting farmers throughout Asia. De Heus announced the completion of the acquisition on March 3, 2026.
Complex Legal Landscape Navigated
The transaction involved navigating a complex legal framework across multiple jurisdictions. Lee & Ko Law Firm advised CJ CheilJedang on Korean and Vietnamese law, coordinating legal counsel in Hong Kong, Indonesia, Cambodia, and the Philippines. Asia Business Law Journal reports that the deal required intensive negotiations and strict confidentiality due to CJ CheilJedang being a listed company. Challenges included carve-outs of certain entities and managing relationships with joint venture partners.
Local Expertise and Value Chain Integration
De Heus emphasizes the importance of combining its expertise in animal nutrition, farm management, and animal health with CJ Feed & Care’s strong local presence. This synergy aims to create greater value for customers, partners, and the wider animal protein sector. The company plans to actively connect partners across the animal protein value chain, increasing investments in swine and poultry genetics to improve access to quality inputs for farmers.
Regulatory Considerations in Vietnam
Legal due diligence in Vietnam, conducted by VILAF, highlighted the highly regulated nature of the livestock industry, encompassing land, environment, livestock, food safety, construction, and operating permits. This underscores the complexities involved in transactions within the Vietnamese agricultural sector.
Cambodia’s Role in Regional Supply Chains
DFDL, providing advice on Cambodia-related aspects of the deal, noted the transaction’s significance for Cambodia, demonstrating the country’s growing role in the regional supply chain and attracting continued investor confidence.
Deal Timeline and Agreement
Royal De Heus initially signed a Share Purchase Agreement to acquire 100% of CJ Feed & Care’s Asian business in October 2025. The completion of this acquisition marks a substantial step in De Heus’ ambition to provide access to safe, nutritious, and affordable food by supporting independent livestock and aquaculture farmers.
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