Nestlé Brasil and Laticínio Bela Vista, owner of the Piracanjuba and LeitBom brands, have signed a deal for the production and distribution of UHT milk in Brazil.
As part of the agreement, Nestlé will license its Ninho and Molico brands, exclusively for the liquid milk segment in Brazil, to Laticínios Bela Vista for ten years.
The aim of the partnership is to accelerate the expansion of the UHT milk market in Brazil and boost the position of the Ninho and Molico brands.
“This is the beginning of a partnership between companies that have a strong presence in Brazilian homes and that have the trust of consumers,” said Marcelo Melchior, president of Nestlé Brazil. “We believe we have found the ideal partner to leverage our brands in the UHT milk segment.”
Laticínio Bela Vista will take over some Nestlé units in Brazil that produce UHT milk, using the lines that are already installed and absorbing most of the employees at facilities in Três Rios and Araraquara, and part of the factory in Carazinho.
The companies said that one of the key points throughout the negotiations was the maintenance of jobs.
“We consider that people are essential to expand the presence of Ninho and Molico brands in the country, and to provide the service that both consumers and the trade deserve,” said Cesar Helou of Laticínio Bela Vista.
In its half-year results published last month, Nestlé recorded high single-digit sales growth in Brazil, supported by strong performances in ambient dairy and infant nutrition.
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