Cloetta, the Sweden-based confectionery giant, has decided to sell a distribution unit in Belgium to German rival Katjes International.

The sale comes in the wake of the merger between Cloetta and Leaf International, which was finalised last week. The combined company, which will have annual sales of SEK5.7bn, has kept the Cloetta name.

It said today (22 February) that the disposal of the Belgian distribution business was part of a strategy to "focus on its core brands". 

The unit, which generated annual sales last year of SEK200m, "primarily" handles brands not owned by Cloetta, the company added, although SEK40m of revenues were made through the Swedish firm's portfolio.

Katjes will continue to distribute Sportlife chewing gum, now a Cloetta brand but one that was owned by Leaf, and other confectionery made by the Swedish group.