Fosun buys 20% stake in Taiwan pastry maker

Shanghai-based investment company Fosun Group acquired a 20 percent stake in Taiwan's pastry maker Vigor Kobo for 77 million yuan ($12.26 million), Fosun said on its website.

The deal, which was made via Fosun's subsidiary Laxton Investment Ltd, marks the first time that a Chinese mainland company has invested in Taiwan's food industry.

Vigor Kobo has created a new niche that integrates the tourism and food industries.

Since Taiwan opened its door to mainland tourists in 2008, Vigor Kobo saw exponential growth in its turnover each year from tens of millions of NT dollars before 2008 to a turnover exceeding NT$1 billion for January to October 2012, the company said on its website.

With the support of Fosun Group, Vigor Kobo will soon enter the tourism market on the Chinese mainland.

The two companies will also work together in the launch and sale of souvenirs featuring Shanghai-style snacks, Fosun Group said.