Norwegian food conglomerate Orkla has announced the acquisition of a 20% stake in Nói-Siríus HF, an Icelandic chocolate and confectionery manufacturer.
The value of the deal has not been disclosed.
Nói-Siríus produces the well-known Icelandic chocolate brands Síríus, Nóa Konfekt, Nóa Kropp, Nóa Páskaegg and Konsum, and generates around 70% of its turnover from domestic market sales.
“Nói Siríus holds a unique position in Iceland and is a good fit with Orkla’s portfolio of leading brands," commented Jeanette Hauan Fladby, executive vice president and CEO of Orkla Confectionery & Snacks.
"Chocolate, snacks and confectionery are showing good growth and are core categories for Orkla. We see a potential for creating value by utilising the companies’ strengths across markets, improving production efficiency and building on our position in Iceland, which is a growth market."
Orkla maintains a presence in Iceland through a company called Dragsbæk, of which it is the part owner. In addition, many of Orkla's brands, including Toro, Grandiosa, KiMs, OLW and Jordan are sold in Iceland.
Reykjavik-based Nói Siríus was established in 1920, and is headed up by managing director Finnur Geirsson, who will continue to lead the business after the investment.
The company had a turnover of ISK 3.44 billion (approximately €25 million) in 2018.
© 2019 European Supermarket Magazine – your source for the latest retail news. Article by Stephen Wynne-Jones. Click subscribe to sign up to ESM: The European Supermarket Magazine.