Market Chatter: Kikkoman Boosts Three-Year Overseas Capex by 50% to 120 Billion Yen
Kikkoman (TYO:2801) is ramping up its overseas capital spending to 120 billion yen over three years, a 50% jump from the prior period, Nikkei Asia reported on Wednesday, citing company officials.The company is targeting a 30%-40% U.S. soy sauce capacity boost by 2034 via an expandable Wisconsin facility, the news agency said.The company is also scaling up its global food distribution network across 20+ countries, which has already lifted U.S. profit margins by roughly two percentage points, the publication said.President Shozaburo Nakano noted that expanding foreign operations have substantially boosted the group's cash flow generation, the report added.(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)
