LONDON--(BUSINESS WIRE)--Oct. 14, 2005--H. J. Heinz Company (NYSE:HNZ) today announced that it expects to sign definitive agreements for the sale of its HAK vegetables business based in the Netherlands to NPM Capital within the next few weeks. The proposed sale will be subject to regulatory approvals and Dutch Works Council consultation. Further details were not disclosed.
"Selling the HAK vegetables business is in line with our European Growth Strategy of focusing on three core categories where Heinz is a market leader: ketchup, condiments & sauces; meals & snacks; and infant nutrition," said Joe Jimenez, President and CEO, Heinz Europe.
Earlier this year, Heinz announced that it intended to seek buyers for the HAK business as part of the Company's plan to transform the European business into a world-class competitor and place its focus and resources on big base brands with leading market positions.
The HAK brand is one of the strongest and best known brands in the Netherlands and is the market leader in preserved vegetables sold in glass jars. HAK products are produced in Giessen (The Netherlands) and have annual sales of approximately $65 million. The proposed sale to NPM Capital will include the 191 employees at the Giessen facility. It is anticipated that the sale to NPM Capital will be completed in the next few months.
Heinz is also continuing to explore sale options for its European Seafood and European Frozen & Chilled Food businesses as announced on September 20. This sale process is expected to take 6 to 12 months.