Deal for Duyvis and Benenuts Will Make PepsiCo Europe's Leader in Branded Nuts
PURCHASE, N.Y., Nov. 22 -- PepsiCo (NYSE: PEP) has reached agreement on the principal terms and conditions for the purchase of Sara Lee Corporation's European nuts business in the Netherlands, Belgium and France for a price of euro 130 million, the company announced today.
The transaction will broaden PepsiCo's portfolio in the European snack market.
The business being purchased sells products under the Duyvis brand in the Netherlands and Belgium and the Benenuts brand in France, the leading nut brands in their respective markets. The products are principally roasted and coated bagged peanuts, but also include mixes, noble nuts and extruded snacks.
"These are top-quality brands with strong market positions," said Michael D. White, chairman and chief executive officer of PepsiCo International. "They will broaden our product portfolio by immediately giving PepsiCo a strong position in branded nuts, a large category that's increasingly popular among consumers interested in convenience, great taste and nutrition. This also will give us an important source of products to sell in other markets where we have an established nut business."
The transaction is subject to satisfactory outcome of works council proceedings, as well as regulatory approvals and clearance by the Dutch competition authority.
PepsiCo International comprises all of the businesses outside the United States and Canada of PepsiCo, one of the world's largest food and beverage companies. PepsiCo's portfolio includes 16 brands that each generate retail sales of U.S. $1 billion or more, including Pepsi-Cola, Gatorade, Tropicana, Lay's, Doritos and Quaker.