Lindt & Sprüngli Expands in the US
Lindt & Sprüngli Group is acquiring Russell Stover Candies of the US, to broaden its existing premium brands portfolio in the world’s biggest chocolate marketplace.
Headquartered in Kansas City, Missouri, Russell Stover is a leading manufacturer of pralines and seasonal candies in North America. It manufactures chocolate products at four production sites and has an annual turnover of around $500 million.
The deal, which is biggest and most important strategic acquisition in Lindt & Sprüngli’s history, will provide the Swiss confectionery group with an established presence throughout the USA. The addition of the Russell Stover and Whitman’s brands perfectly complements Lindt & Sprüngli’s existing chocolate portfolio and will make the company the number three North American chocolate manufacturer.
Lindt & Sprüngli is financing the acquisition through net cash resources and bank loans and expects the transaction to make a strong positive contribution to the earnings per share from 2015 onwards. It has been agreed not to disclose the purchase price and other contractual details.
The new strategic acquisition means the group will pass the $1.5 billion turnover mark in North America in 2015.
Employing 9,000 people, Lindt & Sprüngli currently operates eight production sites in Europe and the USA. Lindt & Sprüngli Group reported sales of SFr2.88 billion (Eur2.37 billion) in 2013.
