29 April 2008 - Brazil's Sadia has announced that it has signed an agreement with U.S. Kraft Foods to establish a joint venture to sell processed cheese in Brazil.
With an investment of 30 million Brazilian reals (USD 17.7 million), the joint venture will produce, sell and distribute processed cheese including Kraft's brand of Philadelphia and Sadia's cheese and pate products, Sadia said in a statement.
It is expected that the new joint venture will start operations in mid-August and generate BRL 40 million in the first year and up to BRL 300 million within 5 years, said Sadia.
Sadia will hold a 49% stake, while Kraft will have a 51% stake.