Orkla has entered into an agreement to acquire Zeelandia Sweden, a supplier of margarine, vegetable oils and bakery ingredients.
The deal, which is being carried out through the Orkla Food Ingredients subsidiary, sees the business being bought from Dutch firm Koninklijke Zeelandia Groep.
Headquartered in Stenkullen, near Gothenburg, Zeelandia Sweden has most of its sales domestically and exports to Finland, the Baltics and Norway. Last year, it had a turnover of €22.9 million.
Following the transaction, the company’s name will be changed to Credin Sverige, becoming part of Orkla’s Credin Group. It is expected to be consolidated into Orkla’s financial statements in the second quarter of 2019.
Johan Clarin, CEO of Orkla Food Ingredients, said: “The acquisition of Zeelandia Sweden AB is strategically right for strengthening Orkla’s position and production capabilities in our Nordic home markets in categories with which Orkla Food Ingredients is very familiar. Their product portfolio makes a good fit with the Credin Group.”
In January, Orkla secured a deal to buy a 90% stake in Easyfood, a Danish producer of bread-based convenience products. Founded in 2000, Easyfood had a turnover of DKK 316.1 million ($48.7 million) in the 12 months to the end of October 2018 and employs 144 people.
Orkla announced a trio of acquisitions earlier this month to boost its portfolio of brands across Europe.
The company is buying a majority stake in Greek ingredients firm Stelios Kanakis Industrial and Commercial (Kanakis), alongside the purchase of Sweden’s Lecora and a minority investment in the owner of Portugal-based Captain Kombucha.
Next month, Orkla CEO Peter Ruzicka will step down from his role after more than five years in charge.
© FoodBev Media Ltd 2020