FrieslandCampina plans to sell parts of its German consumer business to the Theo Müller group of companies

21-Jun-2022 - Germany

Royal FrieslandCampina N.V. plans to sell parts of its German consumer business to the Theo Müller group of companies. The agreement includes the Landliebe brand and three German production sites. In the future, FrieslandCampina will focus on expanding its successful business with international brands such as Chocomel and Valess, its Professional business and some private labels produced abroad in Germany. The approximately 1,000 employees of FrieslandCampina Germany were informed today about the planned sale.

With the planned transaction, FrieslandCampina will sell the following business activities to the Theo Müller Group: The Landliebe, Tuffi, Südmilch, Puddis, Mondelice brands, the private label brands in the White Line produced by FrieslandCampina in Germany, the foodservice brand Gastro, as well as the production sites, warehouses and logistics in Heilbronn, Cologne and Schefflenz.

In the future, FrieslandCampina Germany will focus on the marketing and distribution of its international brands Valess, Chocomel, its cheese brands - including Frico and Holland Master - as well as the private labels produced by FrieslandCampina abroad - such as cheese and spray cream. The company will also continue its Professional business. In addition, FrieslandCampina will maintain its presence with Kievit in Lippstadt and with DFE Pharma in Goch and Nörten-Hardenberg.

FrieslandCampina will continue to collect and process the milk of its German member dairy farmers. For the German member dairy farmers, the rights and obligations associated with membership of the cooperative will continue to apply unchanged. They will continue to be entitled to the FrieslandCampina guaranteed price, the cash back payment, the named reserve and, if applicable, any surcharges. The new owner will take over the contracts of the German supplying non-member dairy farmers.

Member of the Executive Board Royal FrieslandCampina and President FrieslandCampina Food & Beverage, Roel van Neerbos, explains: "FrieslandCampina's market position and profitability in Germany have been significantly improved in recent years through targeted measures. Nevertheless, we are convinced that we have found a suitable successor in the new owner, the Theo Müller group of companies, which will be able to successfully further develop this business through synergy benefits. In Germany, one of our home markets, FrieslandCampina will continue to focus on selling its strong international brands."

Stefan Müller, Chairman of the Supervisory Board of the Theo Müller Group, commented: "We are convinced that this acquisition is a very fitting addition to our successful Mopro portfolio in the German market and will make a positive contribution to the growth path of the Theo Müller Group."

The transaction is subject to customary conditions, including approval by the Members' Council of the dairy cooperative FrieslandCampina U.A., the Supervisory Board FrieslandCampina Germany and the German Federal Cartel Office. The Members' Council will make a decision on 20 June 2022. It is expected that the transaction will be completed by the end of 2022 at the latest. No statements will be made on the financial aspects of the transaction.

Note: This article has been translated using a computer system without human intervention. LUMITOS offers these automatic translations to present a wider range of current news. Since this article has been translated with automatic translation, it is possible that it contains errors in vocabulary, syntax or grammar. The original article in German can be found here.

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