25 April 2008 - Kraft Foods has announced it has signed an agreement to sell its Artiach biscuits business in Spain to bakery firm Panrico.
The sale, however, is subject to regulatory approvals prior to closing, which is expected later this year.
The divestiture will not affect Kraft's ongoing business in Spain, Kraft Foods said.
"Kraft's ongoing focus in Spain is to grow its strong portfolio of leading biscuit, chocolate, coffee, cheese, desserts and mayonnaise brands including LU, Oreo, Fontaneda, Milka, Saimaza, Philadelphia, El Caserio, Royal and Kraft", the company said in a statement.
The news comes immediately after FLEXNEWS reported that Nestle subsidiary Nestle Hungaria Kft acquired popular chocolate brand Balaton from the Hungarian branch of U.S. Kraft Foods.
The divestments of Artiach and Balaton by Kraft Foods were part of the conditions set by the EU competition authorities for the US firm to buy the biscuits and cereal snack unit of France's Danone back in November last year.