Paris, 21 April 2008 – The Bel Group (The Laughing Cow, Boursin, Leerdammer, Kiri, Mini Babybel) announced today its acquisition of the Jaromericka Group whose two entities will complete its holdings in the Czech Republic. The deal involves buying-out 100% of J+R's capital and 71.5% of Jaromericka Mlerkarna's shares, two “sister companies” in which a Czech entrepreneur, Mr. Palat, and his family were majority shareholders.
This purchase is a significant step in the Bel Group’s external growth strategy in Eastern Europe, and notably in the Czech Republic. The deal includes two manufacturing sites close to the plant the Bel Group already owns in the southern part of the country.
Bel is reinforcing its already solid positions in the Czech Republic. It had purchased the Zeletava Syrarna Company in 2000 and the Gervais brand from the Danone Group in Czechoslovakia in January 2007.
Already a leader in processed cheeses, with The Laughing Cow (Vesela Krava in Czech) and other local brands, and a fresh cheese player with Gervais, Bel enters the hard cheese segment with this latest acquisition.
Jaromericka: one of the ten principal cheese players in the Czech Republic
With milk collection reaching 87 million liters and cheese production 15,600 tons in 2007, Jaromericka is among the top ten largest cheese players in the Czech Republic. The company employs 317 staff and generated a turnover of about €54 million in 2007.
Two main segments dominate the Czech market: hard cheese (representing more than 50% of the cheese market) and processed cheese (around 20%), in which the Czech hold a European record of consumption per capita. The fresh cheese segment, while more modest in volume (9%), is growing rapidly (+36% in five years). Promising opportunities in this country await the Bel Group, which is now present on these three segments.
"This acquisition in the Czech Republic exemplifies the determination to hasten the Bel Group’s internal and external growth. This growth is predicated on developing strong and differentiated brand platforms and a selective acquisitions strategy in line with the company’s business model,” underscores Gérard Boivin, Bel’s President.
Jaromericka’s acquisition remains subject to the Czech competition authorities’ approval.
About the Bel Group
The Bel Group, from its origins as a family owned company, has become one of the world leaders in brand cheeses, with nearly 11,000 staff, about 30 subsidiaries worldwide and products sold in roughly 120 countries.
Bel has proven track record of innovation and unique industrial expertise, combined with continual creativity in advertising and marketing. The Group holds a portfolio of world renowned and differentiated products such as The Laughing Cow, Boursin, Mini Babybel, Kiri and Leedammer, as well as about twenty other local brands.
In 2007, the Bel Group generated a turnover of about €2 billion.