CSM opens talks on acquisition
Coberco Dairy Foods over the acquisition of the latter's bakery
operations.
Dutch-based food giant CSM has started negotiations with Friesland Coberco Dairy Foods over the acquisition of the latter's bakery operations. The deal includes the acquisition of all production and sale facilities outside the Netherlands for the manufacturing of dry powder mixes for cremes in cakes.
These are currently run under the Friesland Madibic Food Service brand, an operating company of Friesland Coberco.
The deal also includes, amongst other things, the customer lists, recipes, stocks and Friso label for bakery operations. Friesland's bakery businesses currently generate around €11 million.
CSM believes that Friesland's bakery activities will fit perfectly into the group's CSM Bakery Supplies Europe business. Moreover, the group claims that the acquisition will further strengthen CSM's position in the market for artisan bakers.
The sale of these operations reflects Friesland Madibic Food Service's ongoing strategy of concentrating on the production and sale of dairy-based products under the Debic label for professional customers.Both sides expect the negotiations to take several weeks to complete.
CSM is a global operating company involved in the development, production, sale and distribution of food ingredients and sugar confectionery. Next to bakery ingredients and products, its other main product groups are sugar confectionery, sugar and lactic acid.
The group has an annual turnover of €3.8 billion and operates in Europe, the United States, Canada, Brazil and Asia. It employs approximately 14,000 staff.
