FDBusiness.com

In line with its strategic decision to focus entirely on its business-to-business operations, Barry Callebaut is selling its factory and the related business at Dijon in France to Chocolaterie de Bourgogne. The deal will mark the final step in the disposal of all Barry Callebaut’s consumer activities. After the sale of Barry Callebaut’s European Consumer Products business (Stollwerck) to the Belgian Baronie Group in 2011, the Dijon factory remained as the last consumer factory within the group.

Chocolaterie de Bourgogne will be a business owned and managed by Philippe de Jarcy and his management team. They have long-standing business experience in the consumer chocolate industry.

In order to support the business under the new ownership, Barry Callebaut has agreed that Chocolaterie de Bourgogne will continue to provide 12,000 tonnes of liquid chocolate per year to Barry Callebaut under a 5-year supply contract.

As a result of this divestiture, Barry Callebaut expects to report a one-time loss from the discontinued operation of approximately SFr65 million (Eur54 million) for fiscal year 2011/12, which includes the operating result of the discontinued operation, one-off impairments and other one-off expenses incurred in relation to the transaction.

The new company Chocolaterie de Bourgogne aims to become a specialist in chocolate-based consumer products in major international markets. Chocolaterie de Bourgogne has revenues of Eur 80 million and employs 278 people at its Dijon site.