Cloetta, a confectionery maker active in the Netherlands, Italy and the Nordics and with presence in more than 50 countries, has signed an agreement to acquire 100% of the Dutch firm Locawo (Lonka) for SEK 295 million ($34 million).
Lonka primarily produces and sells fudge, nougat and chocolate products. Approximately 50% of sales are branded and 50% are pick & mix sales and contract manufacturing. Lonka was established in the Netherlands in 1920 and was acquired by the current main owner in 1997.
“Lonka is a well-known brand that will significantly strengthen Cloetta’s positon in the Netherlands. The acquisition will diversify Cloetta’s product range into new technologies and categories including the Dutch chocolate market. It will also create cost synergies”, said David Nuutinen, incoming CEO of Cloetta.
“We are very pleased to become part of the Cloetta Group. With Cloetta’s focus on brands and strong routes-to-market, especially in the Netherlands, I am convinced that we will be able to further strengthen the Lonka brand”, added Aime de Bock, CEO of Locawo.