Cloetta sells its Italian operations to Katjes International

 

Cloetta Italy, headquartered in Cremona, produces and sells brands such as Sperlari, Saila, Dietor, Galatine and Dietorelle. The factories are located in Cremona, Gordona, San Pietro in Casale and Silvi Marina. In 2016, Cloetta Italy had sales of SEK 745 m (€ 77.16 m) and appr. 400 employees. The deal includes the complete Italian commercial organization, the four production units and all Italian brands.

“I am very pleased that we have found a new home for our Italian brands, factories and employees. We already know Katjes and are well aware of their business experience and good employer track record. I am convinced that they will be able to manage and develop the business going forward. This is a very good solution for all parties and follows Cloetta’s strategy to focus more on its business in North-Western Europe including the recently acquired Candyking business,” says Henri de Sauvage-Nolting, CEO of Cloetta.

The divestment will result in an impairment estimated to appr. SEK 365 m (€ 37.8 m) before tax that will be reported in the second quarter of 2017. “The impairment of Cloetta Italy recognizes a challenging business performance over time that have eventually led to this decision. However, the divestment of Cloetta Italy will enable Cloetta to reach its EBIT margin target of 14% in a more focused way. The divestment will improve Cloetta’s margins and return on capital employed,” says Danko Maras, CFO of Cloetta. The transaction is not subject to regulatory approvals and is expected to close in the third quarter of 2017.