Nestlé Acquires Majority Stake In Organic Company Terrafertil
Nestlé has announced that it acquired a majority stake in Terrafertil, a Latin American company that produces natural, organic, plant-based foods.
Ecuador-based Terrafertil has a wide portfolio of products, including the Nature's Heart brand, and is the world's largest buyer of goldenberries.
Nestlé says that the food company will continue to be managed by its founders - brothers David, Raul and Daniel Bermeo - who established the business in 2005.
The Bermeo brothers said that the investment from Nestlé will allow the company to expand its presence and distribution around the world.
Financial details of the transaction were not disclosed, but the deal includes all of Terrafertil's operations and assets in the seven countries where it operates.
The company currently has four factories, located in Ecuador, Mexico, Colombia and Chile, and employs around 400 people.
Nestlé says that this deal will allow the company to expand further in the area of natural and organic foods, especially in Latin America, the US, and the UK.
"This investment allows us to strengthen our presence in fast-growing categories such as plant-based foods, beverages and healthy snacks, known as ‘superfoods’ due to their high natural nutrient content,” said Laurent Freixe, CEO of Nestlé Zone Americas.
The Swiss food giant has been shifting focus to the health and wellness sector in recent months.
In December, Nestlé announced plans to acquire Canadian vitamin-maker Atrium Innovations in a $2.3 billion deal, while last month the company sold its US confectionery business, marking a significant move for a group whose brand name has become synonymous with chocolate and sweet snacks.
© 2018 European Supermarket Magazine – your source for the latest retail news. Article by Sarah Harford. Click subscribe to sign up to ESM: The European Supermarket Magazine.