General Mills Expands in Brazil
General Mills has acquired Brazilian yogurt maker Carolina Administracao e Participacoes Societarias, a privately-held dairy products company headquartered in Ribeirao Claro, Parana, Brazil. Terms of the transaction were not disclosed. Operating primarily in southern and southeastern Brazil, Carolina sources high-quality milk from farmers in the dairy-rich region of Parana, and markets more than 20 different dairy product lines. Employing more than 390 people in Ribeirao Claro and across the region, Carolina has significant regional operating, sales and distribution infrastructure.
“We are delighted to add Carolina’s strong brands and talented team to General Mills’ growing international business,” says Chris O’Leary, executive vice president and chief operating officer – International of General Mills. “Carolina’s strong capabilities in yogurt and dairy will accelerate General Mills’ growth in Brazil. We plan to invest and build on the strong Carolina product portfolio, leveraging our own expertise and the Carolina team to grow and expand in Brazil – a very important market for General Mills International.”
As one of the biggest economies in the world, Brazil is an attractive consumer market. A majority of its 200 million people now belong to the middle class and domestic consumption is an important economic driver. Yogurt is also an attractive category within the Brazilian market. Not only is the yogurt category growing strongly, but there is ample room for additional growth, with Brazilian yogurt consumption per capita still well below other key markets in Latin America.
General Mills continues to invest in Brazil. The addition of Yoki Alimentos in 2012 more than doubled General Mills’ annual sales in Latin America. Its 2011 acquisition of Yoplait International also greatly expanded General Mills’ yogurt portfolio, a business it has continued to expand with the recent entry of Yoplait into China.
