Mondelēz International Announces Agreement to Sell Its Developed Market Gum Business to Perfetti Van Melle
- Advances strategy to accelerate growth and focus portfolio on attractive chocolate, biscuits and baked snacks categories
- Retains emerging market gum business across Latin America and Asia, Middle East and Africa
CHICAGO, Dec. 19, 2022 (GLOBE NEWSWIRE) -- Mondelēz International (Nasdaq: MDLZ) today announced it has entered into definitive agreements to sell its developed-market gum business in the United States, Canada and Europe to Perfetti Van Melle Group, a leading European gum and confectionery maker for a headline purchase price of $1.350 billion or 15 times equivalent to estimated current year EBITDA.
The divestiture advances the Company’s portfolio reshaping strategy, as outlined at its Investor Day in May, enabling greater focus on growth and reinvestment in its core chocolate, biscuit and baked snacks categories.
The sale includes manufacturing facilities in Rockford, IL and Skarbimierz, Poland and the gum brands Trident,Dentyne, Stimorol, Hollywood, V6,Chiclets, Bubbaloo and Bubblicious in the United States, Canada and Europe, as well as the European candy brands Cachou Lajaunie, Negro, and La Vosgienne. Mondelēz International will continue to operate its gum business outside the United States, Canada and Europe, led by Stride in China, as well as all of its other candy brands and products.
“As we continue progressing our Vision 2030 focus and acceleration strategy, doubling down on our core snacking categories, we are pleased to transition our developed market gum business to a values-led, family-owned company whose portfolio is a strategic fit, and where our brands and people can thrive,” said Dirk Van de Put, Chairman and CEO, Mondelēz International.
The acquisition of Mondelēz International’s developed market gum business complements the Perfetti Van Melle portfolio—including iconic global brands such as Mentos, Chupa Chups and Alpenliebe.
“Perfetti Van Melle will be an excellent home for the management team and employees of Mondelēz’s gum business in North America and Europe,” said Egidio Perfetti, Chairman of Perfetti Van Melle Group. “We have long admired the product and brand portfolio of the gum business and look forward to combining them with the Perfetti Van Melle brand family,” said Daniele Perfetti, Vice Chairman of Perfetti Van Melle Group.
Mondelēz International’s Vision 2030 strategy aims to generate 90% of revenue in chocolate and biscuits, including baked snacks—categories identified with significant growth opportunities for the Company —up from 59% in 2012 and 80% today.
The transaction, which is subject to customary closing conditions, is expected to close in Q4 of 2023. The definitive agreements cover the sale of the business in the United States, Canada and Europe excluding France. The parties have entered into exclusive arrangements for the sale of the business in France.
About Mondelēz International
Mondelēz International, Inc. (Nasdaq: MDLZ) empowers people to snack right in over 150 countries around the world. With 2021 net revenues of approximately $29 billion, MDLZ is leading the future of snacking with iconic global and local brands such as OREO, belVita and LU biscuits; Cadbury Dairy Milk, Milka and Toblerone chocolate; Sour Patch Kids candy and Trident gum. Mondelēz International is a proud member of the Standard and Poor’s 500, Nasdaq 100 and Dow Jones Sustainability Index. Visit www.mondelezinternational.com or follow the company on Twitter at www.twitter.com/MDLZ .
About Perfetti Van Melle
Perfetti Van Melle is a private company that manufactures and distributes confectionery and chewing gum in more than 150 countries. Perfetti Van Melle is a world leader in the confectionery industry, thanks to strong and internationally recognized brands such as Mentos, Chupa Chups, Alpenliebe, Frisk, Smint, Fruit-tella, Golia, Brooklyn, Happydent, Vivident, Daygum, Vigorsol, Big Babol and Airheads. In 2021 Perfetti Van Melle Group reported net revenues of approximately €2.5 billion.
This press release contains forward-looking statements. Words, and variations of words, such as “will,” “may,” “expect,” “plan,” “continue” and similar expressions are intended to identify these forward-looking statements, including, but not limited to, statements about Mondelēz International’s strategic priorities and growth strategy; the expected results of the transaction and the impact of the transaction on Mondelēz International’s business; the consideration for and closing of the transaction; Mondelēz International’s future performance, including its future revenue and earnings growth; plans to reshape Mondelēz International’s portfolio and extend its leadership positions in chocolate and biscuits as well as baked snacks; Mondelēz International’s leadership position in snacking; consumer behavior, consumption and demand trends and Mondelēz International’s business in developed and emerging markets, its channels, its brands and its categories; and long-term value creation. These forward-looking statements are subject to a number of risks and uncertainties, many of which are beyond Mondelēz International’s control, which could cause Mondelēz International’s actual results to differ materially from those indicated in these forward-looking statements. Please also see Mondelēz International’s risk factors, as they may be amended from time to time, set forth in its filings with the U.S. Securities and Exchange Commission, including its most recently filed Annual Report on Form 10-K and subsequent Quarterly Reports on Form 10-Q. There may be other factors not presently known to Mondelēz International or which it currently considers to be immaterial that could cause Mondelēz International’s actual results to differ materially from those projected in any forward-looking statements it makes. Mondelēz International disclaims and does not undertake any obligation to update or revise any forward-looking statement in this press release, except as required by applicable law or regulation.
|Tracey Noe (Media)||Shep Dunlap (Investors)|