Lavazza has agreed to buy Danish coffee brand Merrild from DE Master Blenders for an undisclosed amount.
Funen-based Merrild reported sales of €35m last year, with 90% originating from its roast and ground businesses. Its acquisition marks the latest phase in DE Master Blenders’ $5bn merger with Mondelēz’s coffee brands, which we first reported back in May 2014. As a condition of the deal, DE Master Blenders has already begun the process of selling a number of smaller European brands to meet conditions set by European competition authorities.
In January, Lavazza paid €600m to acquire French coffee brands L’Or and Grand’Mère from DE Master Blenders while, a month later, Mondelēz sold its 50% stake in Japanese coffee manufacturer Ajinomoto General Foods.
“Lavazza has agreed in terms with D.E. Master Blenders 1753 BV to meet the conditions of the European Commission regarding divestment of the Merrild brand,” Lavazza told Reuters in a statement at the end of last week.
The deal itself would be subject to further European antitrust approval before it could be completed.
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