Leading domestic dairy producer Junlebao Dairy Group has expanded its reaches into the on-premise yogurt market by acquiring 30 percent of More Yogurt, a chain freshly made yogurt store operator.

The two signed the agreement on November 8. The Junlebao Dairy Group will invest to acquire 30 percent of the shares of More Yogurt, and the two parties will also carry out collaborations in many fields such as raw material supply, product research and development, food safety, and operation management, said the company.

More Yogurt, founded in 2014, is a leading domestic chain of freshly made yogurt, with over 1,600 stores, two-thirds of which are located in first- and second-tier cities. On-premise yogurt is the emerging growth driver for the yogurt sector, which has been sought after by many leading dairy producers in the country.

Junlebao is a top domestic dairy producer based in Hebei province and has 25 production plants and 25 large-scale farms across the country. The deal is expected to offer More Yogurt with quality dairy supplies to enhance the competitiveness of its freshly-made products.