Friday, 17 August, 2018

Nestle to sell US candy business to Ferrero for US$2.9b

Nutella Shortage Possible As Weather In Turkey Wipes Out 70 Percent Of Hazelnut Crop Ferrero makes Nutella Ferrero Rochers and Tic Tacs
Laurie Berry | 17 January, 2018, 00:49

Nestle SA agreed to sell its USA confectionery unit to Ferrero SpA, the Italian maker of Nutella, in the first substantial step away from the candy industry by the company that invented milk chocolate.

Nestle's U.S. confectionery business represents about three percent of U.S. Nestlé Group sales.

Overall, the company's US sales were around $27 billion in 2016.

However, the unit has been underperforming compared to rivals for years, as majority of consumers have now switched to healthier snacks like fruit and nut bars and premium brands like Lindt.

In a tasty confectionery deal, The Ferrero Group - manufacturer of Kinder candies and Nutella - has announced it will acquire Nestle's USA candies business for $2.8bn.

The deal is expected to close at the end of the first quarter of 2018.

Dow Jones Industrial Crosses 26000 Point Mark, Stocks Continue On Record Pace
Canada's main stock index fell on Tuesday as a drop in commodity prices weighed on the shares of materials and energy companies. The major US index futures are pointing to a higher opening on Tuesday, with stocks poised to climb to new record highs.

For Nestle, the deal comes after Daniel Loeb's hedge fund Third Point bought a stake in the Kit Kat maker previous year.

With the $2.8 billion deal, Italian candy maker Ferrero will become the third-largest confectionery company in the US, a press release said. Last year, it acquired Ferrara Candy Co., the maker of Red Hots, Lemonhead and Brach's sweets, as well as confectioner Fannie May.

The maker of Ferrero Rocher treats will take on Nestle's manufacturing facilities in Bloomington, Franklin Park and Itasca, Illinois, and the confectionery-related employees.

"We look forward to welcoming the talented team from Nestle to Ferrero and to continuing to invest in and grow all of our products and brands in this key strategic and attractive market", Giovanni Ferrero, executive chairman of the Ferrero Group, said in a release. Nestle said in a statement announcing the sale that it remains "fully committed" to its chocolate business around the world.

Founded as a family business in Italy in 1946, Ferrero entered the United Kingdom market in 1966 and acquired Thorntons in 2015.

Recommended

Politicians respond to Trump's alleged comment about Haiti Politicians respond to Trump's alleged comment about Haiti Trump on Sunday denied making the statements attributed to him, but didn't get into specifics about what he did or did not say. The US leader said he is " willing and able " to reach a deal to protect immigrants brought to the United States as children.

McDonald's plans for fully recycled packaging by 2025 McDonald's plans for fully recycled packaging by 2025 This announcement comes after the Chicago Tribune reported last week that McDonald's planned to stop using foam cups by the end of this year.

South Africa, Ghana summon USA diplomats after Trump remark South Africa, Ghana summon USA  diplomats after Trump remark Trump has himself denied having used that word but has admitted using "tough" language in the meeting. "That I can tell you". But Senator Dick Durbin insisted the USA leader had used "hate-filled, vile and racist language during the meeting".

Fans Are Furious At Kylie Jenner's Reaction To Khloe Kardashian's Pregnancy Announcement Fans Are Furious At Kylie Jenner's Reaction To Khloe Kardashian's Pregnancy Announcement However, they still didn't reveal anything, except for the part wherein Kris Jenner was concerned about a "situation" with Kylie . Kris's ear surgery appeared to go well and the show moved on to other hot topics - such as Khloe's pregnancy .

'Prominent' Cavaliers players anonymously tell reporters the roster needs upgrades 'Prominent' Cavaliers players anonymously tell reporters the roster needs upgrades LeBron James had 32 points, eight rebounds, six assists, four blocks and three steals in the losing effort. As expected, Thomas shot a paltry 7/21 from the field for his 19 points and 4 assists from 32 minutes.

10-year-old dies of flu after visit to Buffalo 10-year-old dies of flu after visit to Buffalo As of January 6, 15 people had died of influenza-related illness and 456 patients had been hospitalized this season. Luizzi wrote Sunday in an email parents. "He will be sadly missed and fondly remembered".

Minnesota Vikings Fans Go Berserk as Team Pulls Off Incredible Playoff Victory Minnesota Vikings Fans Go Berserk as Team Pulls Off Incredible Playoff Victory A first-ever Super Bowl championship for the Vikings franchise, and a first-ever Super Bowl by a team in their home stadium. Some have dubbed the play " The Minneapolis Miracle ". "Neither one of them has played much football, " Theismann said .

Corbyn and Labour membership on collision course over Brexit Corbyn and Labour membership on collision course over Brexit On the prospect of a visit from Mr Trump, Mr Johnson said: "I think that we will have a visit in due course". He described Labour as "at last the 21st century version of the Socialist party I joined 44 years ago".

Freedom House again recognizes Ukraine as 'partly free' country Freedom House again recognizes Ukraine as 'partly free' country Freedom House says it is an independent body and its assessment reflects its own examination of the data. Meanwhile, Azerbaijan, Iran and Turkey were ranked not free states by the organization.

Modi lays foundation stone of Rs 43000 cr Barmer refinery project Modi lays foundation stone of Rs 43000 cr Barmer refinery project I congratulate CM Vasundhara Raje and Minister Dharmendra Pradhan for organising this programme in Barmer. PM Narendra Modi in #Rajasthan's Barmer; at inauguration of the project commencement of an oil refinery.

Stock In Spotlight: General Electric Company (NYSE:GE) Stock In Spotlight: General Electric Company (NYSE:GE) Several hedge funds and other institutional investors have recently made changes to their positions in the company. Snyder Capital Management L P holds 0.63% of its portfolio in The KEYW Holding Corporation for 1.66 million shares.

Deadly Fugu blowfish sales gives way to emergency warning in Japan Deadly Fugu blowfish sales gives way to emergency warning in Japan The fish, known as fugu, is an expensive winter delicacy but requires a license to prepare because of the dangers of mishandling. The preparation of the fish must be meticulous, as the smallest mistake could result in the death of the diner.

Connecticut officials report a steep increase in flu hospitalizations Connecticut officials report a steep increase in flu hospitalizations An annual influenza vaccination is recommended for everyone 6 months and older and is the best prevention against getting the flu. Local healthcare providers are seeing an increased number of flu cases, and these numbers are expected to continue increasing.

Halep survives date with Destanee to reach second round Halep survives date with Destanee to reach second round After suffering a full body cramp in Brisbane, she withdrew from the Sydney International with a thigh injury. And he knows there are doubts his arm will last the rigours of two weeks of Grand Slam tennis.

Roger Federer charges into second round Roger Federer charges into second round That decision was taken out of her hands because of a doping ban following a failed test on her previous visit to Melbourne Park. She was defeated by Angelique Kerber in the semifinals in 2016 and lost to Serena Williams in the quarterfinals a year ago .