Cadbury sells Australian jams division to Heinz
Cadbury Schweppes, the world’s largest confectioner, agreed to sell its Australian jams and jellies division to HJ Heinz, as part of a plan to raise £250 million ($498 million) from disposals of smaller assets.
By Agencies |
LONDON: Cadbury Schweppes, the world’s largest confectioner, agreed to sell its Australian jams and jellies division to HJ Heinz, as part of a plan to raise £250 million ($498 million) from disposals of smaller assets.
The unit was sold for A$70 million ($58 million), the London-based company said in a statement, adding it has also completed disposals of Canadian and Italian subsidiaries. Once all the transactions are completed, the company will have raised £200 million from selling “non-core” divisions, chief financial officer Ken Hanna said in the statement.
Cadbury said in March it will sell or spin off its North American soft drinks unit, which makes Dr Pepper and 7 Up soda. The unit may be worth as much as £8.2 billion, according to Jon Cox, an analyst at Kepler Equities in Zurich. The company last year sold its European drinks unit to concentrate on Dairy Milk chocolate, Trident gum and other food.
Chief executive officer Todd Stitzer has said the company has “an appetite” to make acquisitions in gum, chocolate and confectionery in the range of £250 million to £350 million.
Cadbury shares were down 4.5 pence, or 0.6%, at 716 pence as of 9:59 am in London.
The unit was sold for A$70 million ($58 million), the London-based company said in a statement, adding it has also completed disposals of Canadian and Italian subsidiaries. Once all the transactions are completed, the company will have raised £200 million from selling “non-core” divisions, chief financial officer Ken Hanna said in the statement.
Cadbury said in March it will sell or spin off its North American soft drinks unit, which makes Dr Pepper and 7 Up soda. The unit may be worth as much as £8.2 billion, according to Jon Cox, an analyst at Kepler Equities in Zurich. The company last year sold its European drinks unit to concentrate on Dairy Milk chocolate, Trident gum and other food.
Chief executive officer Todd Stitzer has said the company has “an appetite” to make acquisitions in gum, chocolate and confectionery in the range of £250 million to £350 million.
Cadbury shares were down 4.5 pence, or 0.6%, at 716 pence as of 9:59 am in London.
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