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Categories: Mergers and Acquisitions

Norway: Sara Lee's Kaffehuset Friele Acquires 20% Stake in Brazilian Starbucks Gourmet Coffee Supplier Ipanema

Source: FLEXNEWS
10/06/2008

10 May 2008 - Gavea Investimentos, a Brazilian independent investment firm, has sold its 20% stake in gourmet coffee producer Ipanema Coffees to Norwegian coffee roaster Kaffehuset Friele AS, a 40%-owned subsidiary of Sara Lee, local media report.

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Ipanema Coffees is the main supplier of coffee shop chain Starbucks in Brazil.

A partner from Norway will allow Ipanema to continue its global expansion plans. Currently, 75% of its production is exported to Europe, U.S., Japan and Australia. Ipanema is now aiming at Scandinavian countries, world leaders in per-capita consumption of coffee, added the reports.

Gavea, during the last two years, invested R$ 18 million (approximately USD 11 million) in Ipanema and helped the company double its revenue.

Kaffehuset Friele is Norway's leading coffee roaster, with a market share of about 32% (value). Kaffehuset Friele competes with four other players in the Norwegian coffee market - Joh. Johannson with 29%, Nestle with 16%, COOP with 15% and Kjeldsberg with a market share of 7%.

The firm's largest coffee brand, Friele Frokost kaffe, is also Norway's leading brand and has a market share of 29% (volume). The company also produces the Krone, Café Noir and Spesialkaffe (speciality coffee)  brands. Kaffehuset Friele offers products to both the food service segment (20%) and the retail trade (80%).



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