Barry Callebaut sells its European consumer business to the Belgian Baronie Group

Barry Callebaut AG, the world’s leading manufacturer of high-quality cocoa and chocolate products, today announced signing the sale of its European consumer business Stollwerck to the Belgian Baronie Group. The share deal comprises the entire Stollwerck Group including five factories in Germany, Belgium and Switzerland. The transaction also includes a long-term supply agreement between Baronie Group and Barry Callebaut for the supply of approximately 25,000 tonnes of liquid chocolate annually as well as the additional supply of cocoa beans and semi-finished products.

The two contracting parties agreed not to disclose any financial details of the transaction, which is subject to antitrust assessment. Closing is expected for fall 2011. Rabobank International acted as the financial advisor for this transaction.

Stollwerck, founded in 1839 and bought by Barry Callebaut in 2002, is a producer of chocolate confectionery products offering an extensive portfolio to most of the important retailers in Europe. Sales revenue of Stollwerck is approximately EUR 500 million and volumes sold are more than 100,000 tonnes. Stollwerck’s volumes consist of private label business, branded chocolate products (Sarotti, Alprose, Alpia and Jacques) and co-manufacturing for third parties. The company employs about 1,700 people.

Fons Walder, owner and CEO of Sweet Products: “We are very pleased to be adding Stollwerck to our existing business and align our business portfolios as well as our long-term strategic objectives. Stollwerck, its private label business and branded business are highly regarded in the market. We welcome the management team and all employees of Stollwerck. The transaction marks an important milestone in our group’s history. It will broaden the range of products for our customers significantly and it offers opportunities to increase our distribution network and manufacturing capacity.”

Juergen Steinemann, CEO of Barry Callebaut: “We are very satisfied that we could successfully conclude the sales process with the Baronie Group. We believe that we found a very good new home for our European consumer business and our former colleagues. Additionally and thanks to our long-term supply agreement, the Baronie Group and Stollwerck will become important long-term strategic partners of Barry Callebaut. The transaction is fully in line with earlier announcements and our strategy.”