ALBA, Italy -- The Ferrero Group, a global confectionery company, today announced a definitive agreement to acquire the U.S. confectionery business from Nestle for $2.8 billion in cash. Nestle’s U.S. confectionery business generated sales of about $900 million in 2016.
Alba, Italy-based Ferrero will acquire more than 20 American brands with a strong awareness in the United States, including Butterfinger, Baby Ruth, 100 Grand, Raisinets, Wonka and the exclusive right to the Crunch brand for confectionery.
With this transaction, Ferrero will become the third-largest confectionery company in the U.S. market where it is best known for Tic Tac breath mints, Ferrero Rocher pralines, Nutella hazelnut spreads, the Fannie May and Harry London chocolate brands, and the Ferrara Candy Co., which was recently acquired by Ferrero.
Ferrero will acquire Nestle’s U.S. manufacturing facilities in Bloomington, Franklin Park and Itasca, Ill., and the confectionery-related employees, and will continue to operate through the offices in Glendale, Calif., as well as from its other current locations in Illinois and New Jersey.
Watch for details in CSP Daily News.