In an attempt to strengthen its business and global control of the sauce market, H J Heinz Co. is acquiring the HP Foods and Lea & Perrins sauce divisions from Groupe Danone of France for an estimated $852 million.
The acquisition will result in Danone’s brands such as Lea & Perrins Worcestershire sauce, HP Sauce and Rajah spices being owned by Heinz. The Pittsburgh based company will also own the license to manufacture and market Danone's Amoy brand of Asian sauces in Europe.
The sauce brands of Danone, which are primarily marketed in the UK, US and Canada, together accounted for revenues worth $292 million last year.
The move by Heinz, according to William Johnson – Chairman & Chief Executive, is part of the company’s long-term planning of strengthening global business in the sauce sector.
Posted
on : Tue, 21 Jun 2005 14:55 GMT | General News
By : Chris Rowe
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