South African food group Tiger Brands has reached an agreement to acquire Nestlé’s Crosse & Blackwell South African mayonnaise business.

The deal, signed on 22 May, will transfer ownership and management of Nestlé’s Crosse & Blackwell mayonnaise production plant in Bellville, Cape Town, to Tiger Brands Limited.

The transaction is subject to regulatory approvals.

The sale is the result of a closed bidding process and financial details have not been revealed.

Tiger Brands CEO, Peter Matlare, said that Crosse & Blackwell mayonnaise would be a welcome addition to the Tiger Brands stable.

A spokesperson for the company told just-food that the deal was in line with Tiger’s strategic drive to acquire South African businesses, in particular, growing the company’s portfolio of well-known local brands.

“Tiger Brands has previously stated its intention to expand through acquisitions. This remains the case and the company will continue to evaluate other opportunities in South Africa and on the continent,” the spokesperson said.