Laiteries Réunies Genève Buys Back Majority Shareholding in Nutrifrais
Swiss food group Laiteries Réunies Genève is buying back the package of shares in Nutrifrais that it sold to Emmi in 2009, after the synergies anticipated at the time have failed to materialise to a sufficient degree. Laiteries Réunies Genève will continue to operate the plant in Plan-les-Ouates, Geneva, which specialises in the manufacture of yogurt and desserts, on the current scale.
In July 2009, Emmi, the Swiss dairy group, purchased a 60% stake in Nutrifrais from Geneva-based Laiteries Réunies Genève. Emmi’s objective was to use production synergies and the transfer of know-how to strengthen operations at Plan-les-Ouates and reduce costs. In addition, Nutrifrais was to develop into a regional dairy for fresh products, and export projects were planned for the additional utilisation of production capacities.
Over the past four years Emmi has implemented various measures aimed at increasing Nutrifrais’ production volumes and thereby improving the plant’s profitability. As a result of the difficult situation on the currency front in particular, however, the measures put in place have failed to produce the desired level of export success. The potential for regional pasteurised milk in the Geneva area had similarly been somewhat overestimated. Despite the expertise and distribution structure brought by Emmi as well as the well-known brands Tam-Tam and Yoplait, benefits have been insufficient for both parties. It was therefore decided that, in future, Nutrifrais will once again be operated solely by Laiteries Réunies Genève.
With effect on 1 April 2013, Laiteries Réunies Genève will reacquire from Emmi the 60% share package in Nutrifrais, which manufactures and distributes TamTam and Yoplait products for Switzerland. In addition, Emmi and Nutrifrais will continue to work together closely in the future. The parties involved have agreed not to disclose the price paid for the shares.
Laiteries Réunies Genève had a turnover of SFr278 million in 2012 and is structured as a co-operative which holds shares in several companies active in four segments: dairy products (Nutrifrais, Val d’Arve), trade (W. Ottiger, Vivadis, Chäs Max), processed meat products (Del Maître, Maître Brönnimann Sàrl) and logistics (LRG Logistics).
