Philip Morris announces agreement for the acquisition of Brazil's leading chocolate company.RYE BROOK, N.Y.--(BUSINESS WIRE)--April 29, 1996--Philip Morris announced today that its Brazilian affiliate has signed a preliminary agreement to acquire the controlling interest controlling interest The ownership of a quantity of outstanding corporate stock sufficient to control the actions of the firm. Controlling interest often involves ownership of significantly less than 51% of a firm's outstanding stock because many owners fail in Industrias de Chocolate Lacta S.A. ("Lacta"). Philip Morris already owns 40% of Lacta's shares and the controlling interest will be acquired from the holding company of the Adhemar de Barros family. The agreement is subject to certain conditions, including the approval by the Board of Directors of Philip Morris Companies Inc. The transaction is expected to be completed at the end of June. Lacta, established in 1912, is Brazil's leading chocolate company and its key brands are among the most valuable and widely recognized in Brazil. The company manufactures and sells such brands as Sonho de Valsa, Bis, Laka, Diamante di·a·man·te or di·a·man·té n. 1. A small, glittering ornament, such as a rhinestone or a sequin, applied to fabric or a garment. 2. Fabric that has been covered with many of these ornaments. Negro and Ouro Branco Ouro Branco is a municipality located in the center of the Brazilian state of Minas Gerais. Its population is 35,000 (2005).[1]. References 1. ^ IBGE - [1] . In 1995, Lacta had gross sales Gross Sales A measure of overall sales that isn't adjusted for customer discounts or returns, calculated simply by adding all sales invoices, and not including operating expenses, cost of goods sold, payment of taxes, or any other charge. revenues in excess of US$400 million and had more than a 30% share of the Brazilian chocolate market. The company has approximately 4,000 employees. "This agreement will make us the leader in confectionary in Latin America's largest market, which alone represents more than half of the region's confectionary consumption," said Peter Schreer, President of Philip Morris International's Latin America Latin America, the Spanish-speaking, Portuguese-speaking, and French-speaking countries (except Canada) of North America, South America, Central America, and the West Indies. region. "We believe the Brazilian market presents strong growth prospects and that Lacta will strengthen our competitive position both in Brazil and throughout the region," he added. Philip Morris operates in Brazil through Kraft Suchard Brasil S.A. and Philip Morris Marketing S.A. Kraft Suchard Brasil participates in the food market and is represented by the Kibon Division, which is the leading manufacturer of ice cream, and by the Suchard Division, which manufactures powdered beverages, chewing gum chewing gum, confection consisting usually of chicle, flavorings, and corn syrup and sugar (or artificial sweeteners). Prehistoric people are believed to have chewed resins. and sugar confectionary with brands such as Tang, Ping Pong, Sugus and Confeti. Philip Morris Marketing participates in the cigarette market with brands such as Marlboro, L&M and Dallas. Established in Brazil since 1973, Philip Morris' subsidiaries in Brazil had sales in 1995 exceeding US$1.5 billion, and currently has over 10,000 employees. Philip Morris Companies Inc. is the world's largest producer and marketer of consumer packaged goods, with 1995 revenues of more than $64 billion. Philip Morris conducts its business around the world through six principal operating companies: Kraft Foods Inc.; Kraft Foods International; Miller Brewing Company Miller Brewing Company is the second largest American beermaker and is based in Milwaukee. It is owned by SABMiller. Miller owns breweries in Albany, Georgia; Chippewa Falls, Wisconsin; Eden, North Carolina; Fort Worth, Texas; Irwindale, California; Milwaukee, Wisconsin and ; Philip Morris International Philip Morris International, (PMI) based in Lausanne, Switzerland, held a 15.5% share of the international cigarette market in 2005. Its brands, led by Marlboro and L&M, are sold in over 160 countries around the world. Inc.; Philip Morris U.S.A. and Philip Morris Capital Corporation. CONTACT: Philip Morris International Inc. Elizabeth Cho, 914/335-9221 |
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