Tag Archives: Nestle

Nestle and Starbucks finalize $7.15bn licensing deal

Swiss Food and beverage giant Nestle SA and American Coffee chain Starbucks Corp on Tuesday announced the closing of a $7.15bn deal that grants Nestle the perpetual rights to sell Starbucks coffee products globally, outside of the company’s coffee shops.

Commenting on the deal, the CEO of Nestle SA, Mark Schneider, said: “This partnership demonstrates our growth agenda in action, giving Nestle an unparalleled position in the coffee business with full suite of innovative brands. With Starbucks, Nescafe and Nespresso, we bring together the world’s most iconic coffee brands”.

Activist investor demands split-up of Nestle SA

An activist investor of Nestle SA, Daniel Loeb has urged the food and beverage giant to split-up into three parts to become bolder about restructuring and take advantage of opportunities.

“This is a call for urgency – rather than incrementalism – to capitalize on fleeting opportunities and innovations that competitors will capture if Nestle does not energize itself,” Loeb who runs Third Point Hedge Fund, wrote in a letter to Nestlé’s board.

Nestle Nigeria lists initiatives taken to reduce plastic waste as it marks World Environment Day

Nestle said it has set a bold global ambition of making 100% of its packaging either recyclable or re-usable by 2025, as part of its pledge to play an active role in combating plastic pollution.

The company said it aims to help consumers dispose of used materials in the right way, while promoting a market for recycled plastics by continuing to increase the proportion of recycled plastics in its packaging.

Nestle S.A. buys licensing agreement to sell Starbuck’s coffee globally

Swiss-based food giant Nestle S.A said it has acquired a licensing agreement from U.S.-based coffee chain Starbucks to sell its bagged coffee globally using Nestlé’s enormous global distribution network.

The deal is said to be worth $7.15bn in cash.

Nestle which is known for its Nescafe and Nespresso coffee brands will market Starbuck’s bagged and pod coffee as well as drinks but will not be involved in any of Starbucks cafes or ready-to-drink products.

Nestle to close DRC factory

Swiss food giant Nestle SA announced on Sunday that it would close its factory in Kinshasa, the Democratic Republic of Congo (DRC), a potential market of 80 million but one plagued by poverty and political instability.

“We will close our factory and offices by the end of January and continue developing our economic distribution model through third parties,” a company spokeswoman said.

Nestle buys Egypt’s Instant Coffee firm

Nestlé SA announced that it has acquired Egyptian Coffee firm Caravan Marketing Company SAE, which makes instant coffee brand Bonjorno, among others.

The terms of the transaction was not disclosed.

Caravan was started in 2003 as a marketing and distribution company and has since grown to include its own brands.

In the last five years, Nestlé has made significant investments in manufacturing and distribution facilities in Egypt at nearly one billion Egyptian pounds ($53m).

Nestle to introduce Youth Apprenticeships to Africa

Nestle has announced that it would introduce its apprenticeships and training programmes to Africa, a continent where the company says business goals and social impact come together.

The company’s CEO Paul Bulcke said: “We will create more than 3,000 apprenticeships and traineeship opportunities in Africa by the end of 2018. We will provide readiness-for-work training for more than 300,000 young people over the same period.”

Nestle Nigeria’s Second Quarter (Q2) 2015 Profit down 24.9% as weak consumer spending shows no sign of easing

Nestle Nigeria’s second quarter (Q2) 2015 profit declined by 24.9 percent as competition in the marketplace and a weak consumer spending continues to haunt the consumer products company. The company is also beset by the insecurity in the north of the country, and higher borrowing costs, among others.

Nestlé’s profit for the period under review was N8.887bn, compared with N11.836bn from the prior year. Sales also fell to N65.92bn, from 67.2bn in the preceding year, a 1.9 percent decline.

Nestle Nigeria’s first Quarter (Q1) 2015 profit decline 51% as consumer spending weakens

Nestle Nigeria’s first quarter (Q1) 2015 net income declined by 51% as the consumer goods company struggled with a sluggish consumer spending, insecurity in the North of the country and skyrocketing borrowing cost.

The company’s profit was N2.95bn, compared with N6bn in 2014. Sales also fell by 34.40 percent to N27.55bn, from N33.bn in 2014.