Davidoff teams up with Sparkle Roll as it seeks to enter China
Oettinger Davidoff AG and Sparkle Roll Group Limited, a publicly listed company in Hong Kong that distributes top-tier branded consumer goods, announced last month that they are entering into a shareholder’s agreement to form a new joint venture company for Davidoff cigars and accessories in China.
Davidoff will hold 49.9 per cent of the entity, and Sparkle Roll Group Limited will hold 50.1 per cent. Both companies had previously entered into an agreement.
Hans-kristian Hoejsgaard, CEO and board member of Oettinger Davidoff AG, said: “The signing of this joint venture agreement heralds a new era in our relationship with Sparkle Roll and in our commitment to building the Davidoff business in China. This market represents the single largest business opportunity for Davidoff in our time and I am convinced that with this new joint venture we will be able to exploit that opportunity to its fullest.”
Tong Kai Lap, chairman of Sparkle Roll, said: “Since the individual customers of Sparkle Roll’s existing principal business in top-tier automobiles are predominantly people with high spending power, the joint venture will create synergies for both companies. The end products in both businesses are perceived to have the same target customer group and market positioning in the premium segment.”