Nestlé, Fonterra Sell Dairy Partners Americas To Lactalis
Swiss conglomerate Nestlé and dairy cooperative Fonterra have signed an agreement to sell their joint venture in Brazil, Dairy Partners Americas (DPA), to French dairy company Lactalis for R$700 million (€125.4 million).
The deal is expected to close by mid-2023 and is subject to approval by the Administrative Council for Economic Defense (Cade).
Under the terms of the agreement, Lactalis do Brasil will acquire the business of DPA Brasil, as well as the intellectual property rights related to the use of the brands Chambinho, Chamyto and Chandelle in the country.
In addition, it will have a long-term licence to use the brands Nestlé, Ninho, Neston, Molico and Nesfit, exclusively for the segment of refrigerated dairy products.
With the transaction, Lactalis will absorb the entire operation of DPA, including its factories, distribution centres, and employees, including head-office staff and sales team members.
Fonterra and Nestlé set up DPA in 2003, to manufacture and market dairy products across Latin America. In 2014, the joint venture refocused its activities on Brazil and the production of chilled dairy products. Fonterra had a 51% stake in DPA, while Nestlé held the remaining 49%.
DPA operates two factories, in Araras and Garanhuns, employing 1,300 people. DPA’s best-known brands in Brazil include Nestlé, Chamyto, Ninho, Chandelle, Chambinho, Neston and Molico.
Present in Brazil for almost a decade, Lactalis owns well-known local brands such as Parmalat, Président, Batavo, Poços de Caldas, Itambé and Elegê.
Related news
Ideas from Hungarian youth are also welcome: Nestlé and UNESCO launch a joint global mentoring program for a sustainable future
Nestlé and UNESCO have announced a global partnership to support…
Read more >Vegan KitKat to disappear from the market
After four years Nestlé is discontinuing vegan KitKat on most…
Read more >Focus on supporting sustainable food systems: Nestlé’s joint value creation summary published
Nestlé is committed to providing sustainable, balanced and affordable food…
Read more >Related news
Change of leadership at the head of Henkel’s Hungarian Consumer Brands business
Maurizio Salvaggio will be the new Head of Consumer Brands…
Read more >You can still save, but not on all margin-stopped products
Although the effect of the Hungarian price caps is starting…
Read more >The BioTechUSA group was able to grow despite market challenges
The purely domestically owned BioTechUSA group has published its annual…
Read more >