FrieslandCampina sells German business to Müller
Royal FrieslandCampina intends to sell parts of its German consumer business to the German dairy Theo Müller. The transaction includes, among others, the Landliebe brand and three German production facilities. FrieslandCampina will continue to successfully grow its international brands such as Chocomel and Valess, its Professional business, and some private label brands produced abroad in Germany. FrieslandCampina Germany includes around 1,000 employees.
The sale will include the following business activities: the brands Landliebe, Tuffi, Südmilch, Puddis, Mondelice, various private labels in the white dairy range produced by FrieslandCampina in Germany, the foodservice brand Gastro, as well as the production facilities, warehouses and distribution centres in Heilbronn, Cologne and Schefflenz.
Moving forward, FrieslandCampina Germany will focus on the marketing and sales of its international brands Valess, Chocomel, its cheese brands – including Frico and Holland Master – and private labels produced by FrieslandCampina outside Germany, including cheese and cream spray cans. Additionally, the company will continue its Professional business. FrieslandCampina will also maintain its presence with Kievit in Lippstadt and with DFE Pharma in Goch and Nörten-Hardenberg.
The Dutch concern will continue to collect and process the milk from its German member dairy farmers. For the German member dairy farmers, the rights and obligations associated with membership of the cooperative remain unchanged. They will also continue to be entitled to the FrieslandCampina guaranteed price, the supplementary cash payment, allocation of profit to the general reserves and, if applicable, any supplementary payments. The new owner will take over the supplier contracts of the German non-member dairy farmers.
The transaction is expected to be completed by the end of the year.