Nestlé takes control of Dreyer’s

SWITZERLAND/USA – Food giant Nestle’s announced last week that it will merge its ice cream business into US firm Dreyer’s Grand Ice Cream in return for a 67% majority stake of the company.

The cash and stock deal leaves option of Nestle’s taking full control of Dreyer’s in 2006.

In a statement, Nestle’s said that the deal would result in annual cost savings of around 170 million euro. Nestle currently controls around 13% of world ice cream production, trailing leaders Unilever who hold 17%.

Dreyer’s is the largest producer of ice cream products in the USA and last year turnover was 1.4 billion euro.