Consolidation in the European fats business likely as Aarhus United
shareholders yesterday clear the way for the merger with number one
Scandinavian fats and oils firms Karlshamns, reports Lindsey
Partos.
Consolidation in food ingredients continues with Nordic fats and
oil firms Aarhus United and Karlshamns set to merge, creating one
of the world's leading suppliers of cocoa butter alternatives,
reports Lindsey Partos.
Sales volumes improve for speciality fats but bulk vegetable oils
continue to feel the pressure in the first quarter for fats and
oils firm Aarhus United.
The sale of Danish cocoa butter replacer Aarhus United is 'taking
longer than anticipated' with news today that the majority
stakeholder is still waiting to confirm a buyer, Lindsey Partos
reports.
United International Enterprises Limited (UIE), the majority
stakeholder in vegetable oil firm Aarhus United, confirms it will
sell its considerable stake in the Danish firm, due to be divested
by January 2005.
The majority shareholder in Danish vegetable oil firm Aarhus United
could soon place its considerable stake on the market, citing a
potential difference in long-term investment interests.
First half sales at Aarhus United fell 3 per cent, eroded by price
competition in bulk oils, but improved volumes, particularly in
Mexico, and reduced costs helped it generate solid operating
profits.
Expecting a higher uptake of vegetable fats by European chocolate
manufacturers following the new '5 per cent' chocolate rule, Danish
oils and fats supplier Aarhus United sees a drop in income for
2003, compounded by currency...
Despite strong sales in confectionery speciality fats, Danish
Aarhus Oliefabrik on Wednesday reported a drop in post-tax profits
to DKK 19.4 million (€2.61m) for the first quarter of 2003.