Acquires Abafoods and Sells French Wholesaler
The Dutch food company Wessanen has agreed to purchase Italian
organic beverage company Abafoods for EUR 52 million in cash.
Abafoods specialises in making dairy alternatives from rice, coconut,
almond, oat, spelt and soy. It is a leading brand in Italian organic
Commenting on the acquisition, Wessanen CEO, Christophe Barnouin, said
it was a major step in the execution of the company's strategy that is
focused on organic food in Europe.
Abafoods generated revenue of EUR 27 million in 2013. The company
expects EUR 39 million revenues this year, and earnings before interest,
tax, depreciation and amortisation (EBITDA) of EUR 6 million. Completion
of the transaction is expected in January 2015.
In another move, Wessanen is selling its French wholesale business Bio-Distrifrais
to an entrepreneur. Bio-Distrifrais is a French wholesaler of organic
fruits and vegetables that reported EUR 19 million revenues in 2013.
The company said the deal was "in line with Wessanen's strategy of
further building its own brands such as Bjorg, Allos, Alter Eco,
Bonneterre, Clipper and Zonnatura in the sustainable food market in
In October, Wessanen said it had once again started a process to try to
sell US drinks business ABC, which it hopes to complete "in the coming
months". A disposal would, the company said, make it a "pure player in
healthy and sustainable food". Wessanen has attempted in the past to
offload ABC but has so far failed to find a buyer.
The purchase of Abafoods is the latest in a string of acquisitions by
Wessanen. By adding established brands like Abafoods, Clipper and Alter
Eco to its portfolio, the Dutch company has built a pan-European
presence. It is one of the few large companies that has a strong
foothold in the European organic food industry. However, there is a
question mark about synergy between its various businesses. Expect to
see more such deals from Wessanen in 2015.
Source: SeeNews Italy /
News Release / OM
Hugli Moves in
The Swiss company Hugli Holding AG is expanding its presence in the
organic food sector by acquiring primaVita GmbH. The purchase is
occurring via Hugli's German subsidiary Heirler Cenovis GmbH.
The German company primaVita GmbH is a producer of natural cosmetics and
organic foods. It owns a number of organic food brands, such as Eden and
Granovita. Eden has a range of organic and vegan products, such as
vegetable and fruit juices, delicatessen and tomato sauces to
seasonings. GranoVita has cereals, muesli, vegetarian sausage and meat
substitutes, as well as bread spreads. primVita generates about EUR 17
million sales revenues.
The transaction is expected to occur in January 2015, with part of
primaVita sales staff moving to the Radolfzell site of Heirler Cenovis.
The Hugli subisidiary is a producer and distributor of soups, sauces,
bouillons, dairy and meat substitute products.
Sweden: Growth in
Organic Meat Production
Production of organic meat is increasing in
Sweden. In 2013, organic beef production increased by 11% to more than
15% of all beef volumes, whilst organic lamb production rose by 6% to
around 20% of all lamb volumes.
The market shares of organic pork and organic chicken were not higher
than 2% and 0.3% of total pork and chicken production respectively,
according to a report from the Swedish Board of Agriculture (Jordbruksverket).
A price survey by the Swedish pensioners' organisation PRO finds the
cost of a conventional basket of groceries in Sweden is SEK 144 (EUR
15.38) cheaper than a basket of organic food groceries. This is the
first time it has compared prices for organic and conventional foods.
Sweden has the largest market for organic foods in the Nordic region.
According to KRAV, organic food and drink sales are projected to rise
above EUR 1 billion this year.
Sustainable meat production, as well as competing
sustainable proteins, are featured in the
Sustainable Foods Summit. The next edition of
this international series of summits will be hosted in San Francisco on
21-22 January 2015.
More details are on the
Göteborgs Posten / Esmerk