The owner of upmarket chocolate business Godiva is to form a confectionery venture serving markets in Europe, Russia and the Middle East with Danish gum maker Gumlink.
Turkish conglomerate Yildiz Holding, which bought Godiva in 2007, and B2B gum business Gumlink will form Continental Confectionery Company (CCC).
Yildiz will transfer its non-chocolate confectionery and chewing gum operations into the venture. Gumlink, meanwhile, will put its private-label and private-brand gum, making businesses serving Europe, Russia, the Middle East and north Africa into the vehicle.
The venture is awaiting regulatory clearance from the Turkish authorities but Yildiz chairman Murat Ülker said there is a “strong fit” between the two companies.
“We believe that there is a strong strategic, operational, and cultural fit between our two companies, which will enable us to create interesting synergies for the benefit of both parties and our valued customers,” Ülker said in a joint statement with Gumlink chairman Holger Bagger-Sørensen.
“Combining Yildiz Holding’s strong confectionery brands and distribution network with Gumlink’s chewing gum technologies and market position within B2B chewing gum, will enable us to accelerate the growth of the strong brands under Yildiz Holding in Turkey and in the surrounding markets, as well as maintaining and expanding Gumlink’s leadership position within B2B chewing gum sector.”