FDBusiness.com

Nestlé has signed an agreement to acquire Caravan Marketing Company, a leading Egyptian instant coffee company, and owner of the Bonjorno brand, for an undisclosed sum. The acquisition reflects Nestlé’s ambition to invest in Egypt and foster the development of the rapidly growing soluble coffee segment which has been gaining popularity among Egyptians.

Yasser Abdulmalak, chairman and chief executive of Nestlé Egypt, comments: “Our investments and expansion plans in Egypt reflect the importance of this market to us. In the last 5 years Nestlé has made investments close to 1 billion EGP in manufacturing and distribution facilities as well as skill development. We will continue to invest in the Egyptian market and this acquisition comes as a reaffirmation of that.”

He adds: “The acquisition will capitalise on the complementary strengths of the two brands Nescafé and Bonjorno, accelerating the development of the soluble coffee market in Egypt. We are proud that Bonjorno a local brand loved by many Egyptians, will become part of our wide portfolio of international brands.”

Nestlé started its activities in Egypt by the end of the nineteenth century and since then has deep-rooted presence in this market operating two factories and providing direct employment to more than 3,000 people. In the Arab world, across North Africa and Middle East Nestlé operates ten factories and provides direct employment to almost 8,000 people. Today Nestle Egypt is part of Zone EMENA (Europe Middle East and North Africa Region).