South American food giant Grupo Nacional de Chocolates is to acquire US cookie manufacturer Fehr Foods for US$84m.

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.

Grupo Nacional de Chocolates said yesterday (23 September) that the acquisition is a “positive step” for the company and that it will continue to develop the Fehr business further.

Additionally, the firm said that Fehr’s proximity to centres of wheat production, a major raw material of the biscuit business, will bring “major economies” and allow it to develop its supply chain to Colombia and Costa Rica.

Fehr produces and markets cookies through two production platforms located in Texas and Oklahoma. Products are sold under the brand names Lil ‘Dutch Maid, Sun Valley and Tru-Blu, which are available in 43 US states, Mexico and Panama.

The agreed sale price is subject to Fehr’s operating performance for the current fiscal year. If set targets are not achieved, there will be a discount of up to $4m.

To finance the transaction, Grupo Nacional de Chocolates has used its own resources and bank loans secured by a number of its subsidiaries.

The closing date is expected to be in October.