03.31.10
Danone announced today that it will start a joint-venture with Chiquita Brands International, Inc. to market fruit-based drinks, based on Chiquita’s Just Fruit in a Bottle platform, in Europe. The joint venture will provide Danone with a platform to explore and develop fruit-based products, adding to its existing portfolio of healthy fresh dairy products and extending its potential for growth in Europe.
Under the terms of the joint-venture agreement, Danone will pay an undisclosed amount in cash to Chiquita for a 51% interest in—and management control over—the joint-venture. Chiquita will license its trademark to the new entity. The transaction is subject to customary regulatory approvals and is expected to be completed in the first half of 2010.
Under the terms of the joint-venture agreement, Danone will pay an undisclosed amount in cash to Chiquita for a 51% interest in—and management control over—the joint-venture. Chiquita will license its trademark to the new entity. The transaction is subject to customary regulatory approvals and is expected to be completed in the first half of 2010.
Over the last four years, Chiquita’s Just Fruit in a Bottle product has become one of the leading fruit smoothie brands in Europe with distribution in 12 countries, generating approx €20 mln sales in 2009. The new joint-venture, which will be headquartered in Paris, will be the exclusive distributor of Chiquita Just Fruit in a Bottle and all future Chiquita branded beverage products in Europe. The joint-venture combines Danone’s world-class nutritional research and development capabilities as well as its complementary geographical presence with Chiquita’s brand equity and local sales and supply chain expertise to extend Just Fruit in a Bottle more efficiently and effectively.
Bernard Hours, co-Chief Operating Officer of Danone, commented: “We are excited to partner with Chiquita in providing consumers with healthy, fruit-based, fresh products. The combination of Danone’s leading European footprint of healthy products, together with Chiquita’s operational expertise in fruit-based drinks creates exciting long-term growth opportunities.”
“Chiquita’s partnership with Danone leverages both firms complementary strengths and will enable us to expand Just Fruit in a Bottle much faster and efficiently across Europe,” said Fernando Aguirre, Chairman and Chief Executive Officer of Chiquita.