Friesland completes Nutricia acquisition

NETHERLANDS – The monopoly commissions in a number of European countries have agreed to one of the biggest dairy takeovers on the continent this year.

Dutch processor Friesland Coberco, with a turnover of 4.1 billion euro in 2000, first announced plans for the takeover of Nutricia Dairy & Drinks Group in the spring, but it has taken until now for the deal to be finalised. Friesland has paid 664 million euro for Nutricia,which had a turnover of 400 million euro in 2000. The company will be renamed Friesland Dairy and Drinks.

The move adds some top-selling products to Friesland’s range, including the functional food Drinkfit in Germany and the market leading flavoured milk drink Chocomel in the Netherlands and Belgium. Friesland, which processed 5.9 million tonnes of milk in 2000, believes the move will strengthen its current strategy of concentrating on strong brands. Meanwhile, Royal Numico, the parent company of Nutricia, will focus on its core businesses – baby foods, clinical nutrition and nutritional supplements.

The acquisition will provide Friesland with a potentially profitable gateway to the East. Nutricia’s presence in Central and Eastern European markets is strong with activities in Hungary, Romania, the Czech Republic and Slovakia. In Hungary, for example, Nutricia markets leading dairy products Milli and P