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Categories: Mergers and Acquisitions

Natra Acquires Italian Nutkao

Source: Natra
13/11/2007

Nov. 13 - The recent acquisition of the Belgian ALL CRUMP and, yesterday, the Italian company NUTKAO, makes NATRA the leading European producer of chocolate and hazelnut spreads for PLB, with a total volume of 50,000 tonnes

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NATRA today signed an agreement with the Braida family, the owners of NUTKAO, regarding the acquisition of all the said company’s shares. This agreement completes the construction of Natra’s new business unit that was begun with the acquisition of All Crump, last 15 October 2007.

NATRA, food company leader in the manufacturing and commercialization of products derived from cocoa and chocolate, has performed an operation that has turned the company into the leading European producer of chocolate and hazelnut spreads for Private Label Brand market and the second largest after Ferrero.

With these two acquisitions, NATRA has formed a business unit projected to invoice more than 100 million euro altogether for 2008, with a volume superior to 50,000 tonnes a year, spelling out 15 % of the European market share.

All Crump projects to close the business year with sales of above 50 million euro, whereas Nutkao projects sales in excess of 45 million euro for the same period.

Both companies share in common the industrial values with which NATRA is building its European project within modern distribution channels, its principal core business: quality and tradition in product preparation, and innovation in the development of fashionable products for the consumer. These acquisitions imply the incorporation of an experienced local management into the company, along with the full consolidation of Natra’s position in Europe, reinforcing its presence in the Belgian market and its introduction into the Italian market.

The market for European cacao and chocolate spreads spells out a total of some 325 million tonnes yearly, with a growth of 4.5 %, while distribution brands in this segment grow at a rate of 8.5 %.

The pro-forma EBITDA forecast for 2008 is estimated at 6 million euro and the value of the company is assessed at 48 million euro. The conclusion of the transaction for the Italian brand NUTKAO is projected to occur within the next 4 months. In March 2008, the payment of 32 million euro, less the debt, is projected. Subsequent to the close of business year 2008, a maximum “earn out” of 16 million euro will be paid, once the earnings of this business year have been audited.

NATRA, which to date produces and distributes more than 45,000 equivalent tonnes of cocoa through its chocolate products, obtained a consolidated turnover of 298 million euro last business year and aims to close 2007 with a turnover of close to 400 million euro. NATRA operates throughout Europe ( Spain represents 10 % of its turnover), and is present in 21 of the 30 principal European distributors through PLB and fancy brand products. NATRA sells more than 400 million chocolate bars each year, more than 80 million chocolate tablets, and more than 18 million boxes of chocolates. From now on, it will also account for 50,000 tonnes in jars of chocolate and hazelnut spreads and filling – figures that position Natra as a key operator in the PLB sector in Europe.


Nutkao – Italy’s second leading company in chocolate spreads

Nutkao, established in 1982, is the second most important Italian company in the product category of chocolate spreads, after Ferrero. In the course of last business year 2006, it posted sales of more than 35 million euro and an EBITDA of 3.3 million euro. The company enjoys an excellent reputation amongst distribution channels, to which it supplies PLB products as well as fancy brand products which are distributed to more than 27 countries, with France, Italy, Switzerland and southern Europe accounting for its most significant markets in distributor brands. Nutkao has a noteworthy presence in the Italian B2B market and in professional channels, where it has obtained recent successes. Nutkao has a production of 24,000 tonnes a year and up to now it was positioned as the fourth European company in terms of production volume.

All Crump – Belgian Chocolate with a Tradition

All Crump, the Belgian producer and merchandiser of chocolate and walnut spreads and fillings, posted sales of over 48 million euro during business year 2006 and obtained an EBITDA of 6.3 million euro. The company, one of the European leaders in this product category, is characterized by its renowned prestige in terms of innovation, product development, quality and management: a know-how developed through more than 40 years of history, which NATRA will uphold in all its facets, representing, as this does, an indispensable company asset. All Crump has known how to combine the best Belgian tradition in the chocolate industry with innovation and adaptability to new market tendencies. The company distributes its products in both the retail channel through PLB, and through its own brands, such as Pralinutta, Patillia or Crumpy, in addition to supplying different food industries as a partner. With a yearly production of 30,000 tonnes, the company distributes more than 400 products in more than 50 countries, and to date has been the third leading company in Europe in terms of production volume. All Crump avails of one of the most modern chocolate production plants in the Belgian city of Malle .



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