Under the deal, Nutexpa has taken a controlling stake in Artiach while Lotus has secured intellectual property rights on Artiach’s Dinosaurus children’s biscuit brand outside of Spain, Portugal, Morocco, Algeria and Mexico.
Mondelez holds license for Dinosaurus until 2013
Mondelez International, Kraft Foods’ new global snacks spin-off, has held a license for the Dinosaurus brand in Belgium and Spain since June 2008 which expires next year. It had been selling the product under its LU brand.
The brand is reportedly worth around €18m ($23m) in sales per year in the two markets combined.
Belgium-based Lotus said that the move would bolster its position in its home market and in neighboring France, but would also give it an opportunity to internationalize the brand.
CEO Jan Boone is delighted with this acquisition: "In addition to strengthening the domestic markets and the prospects for internationalization, the Dinosaurus concept also offers the possibility of bringing the Lotus caramelized biscuits under the Dinosaurus children's concept.”
Lotus takes on Dinosaurus; plans to add production lines
Lotus, which turned over €275.6m ($357m) in 2011, intends to produce Dinosaurus products at its headquarters in Lembeke, Belgium.
Mondelez is also producing the brand in Belgium.
Lotus has acquired no staff of production through the deal, but plans to invest €8m ($10.4m) to add a production line to its Lembeke plant that will begin producing from mid-2013 after Mondelez's license expires.
Nutrexpa has offered Lotus an assurance that it will produce Dinosaurus cookies up until 2014 if required.
Lotus said this will allow it to guarantee stocks after Mondelez’s license ends in end-June 2013.
Nutexpa acquires controlling stake
Spanish firm Nutexpa takes the controlling stake in Galletas Artiach, the company behind the Dinosaurus brand.
It has secured other brands including Marbu, Filipinos, Chiquilin and Atriach’s own brand through the transaction.
Nutexpa exports to around 50 countries and has subsidiaries in China and Portugal.