Orkla Brands is selling its shareholding in Guseppe. The company acquiring the shares is Dr. Oetker. Under the agreement, Dr. Oetker will take over 100 per cent of the shares in Guseppe.
Guseppe produces frozen pizzas and frozen, ready-to-use products, primarily for the Czech and Slovak markets. The company has its production plant in Rokytnice in the Czech Republic. In 2007, the company had a turnover of CZK 241 million (NOK 70 million) and 178 employees.
Orkla Brands took over the Czech company Guseppe in 1998. Since then, production, distribution and administration at Guseppe have been extensively reorganised, and the company's portfolio is now concentrated on a smaller number of more profitable products.
"Nevertheless, we are not satisfied with our market position and financial performance on the Czech and the Slovak markets. We therefore believe that a new owner, who already has substantial operations in this category, will be able to develop the company," says Paul Jordahl, Managing Director of Orkla Brands International.
The parties have agreed not to disclose the purchase price. They have the intention to complete the transaction within the next weeks.
Dr. Oetker is an international company headquartered in Germany. The company is represented in Western and Eastern Europe, as well as in Canada and Brazil. Dr. Oetker sells frozen pizza in 26 countries and is also a major player in categories such as baking products and desserts.
Orkla Brands International consists of SladCo and Krupskaya (Russia), Orkla Foods Romania, Guseppe (Czech Republic), Kotlin and Elbro (Poland), Felix Austria (Austria) and MTR Foods (India). Total operating revenues for Orkla Brands International were NOK 2,262 million in 2007, and at year-end it employed the equivalent of 6,047 man-years. Orkla Brands International is part of the Orkla Brands business area, which is a leading developer, marketer and supplier of strong, proprietary brands and concepts. In 2007, Orkla Brands had operating revenues of NOK 22,253 million and employed a workforce equivalent to 15,000 man-years.
For further information, please contact:
Paul Jordahl, Managing Director Orkla Brands International, tel: + 46 703 354 197
Håkon Mageli, Director Corporate Affairs, Orkla Brands, tel: + 47 928 45 828