Speculation is mounting that Value Partners may table a bid to acquire a 20 per cent stake in Chinese firm, The Fufeng group, which specialises particularly in MSG production.
The growing interest in the company's operations marks the importance of the fermentation and MSG market to processors in the region.
Last August, Thai additive firm Vedan announced it was switching more of its operations towards MSG production after the additive became its "major growth driver" offsetting declining sales in its Amino acid range.
Following in this trend, reports suggest that Value Partners could be preparing to capture a share of the market MSG in China. A spokesperson from the company declined to comment on the speculation.
Fufeng is set to make its trade debut on 8 February 2007, and hopes to raise €88m from its IPO by releasing 400 million shares in the run up to floating.
Though it produces starch, sugar and xanthan gum, the company specialize in Glutamic acid, an intermediate in the production of MSG.
MSG intensifies and enhances flavour without having a taste of its own, and also has the properties to act as a nutrient, as well as a dietary and salt substitute.