Nestle has announced the sale of its remaining 40% stake in Herta, a European meat and pastry products company, to Casa Tarradellas, a Spanish food group. The deal marks the completion of Nestle’s exit from the Herta business, which it had been gradually divesting since 2014.
Herta is a well-known brand in Europe, particularly in France, Germany, and Belgium, with a portfolio of products including cold cuts, sausages, and pastries. Nestle had initially acquired a majority stake in Herta in 1991, but had been gradually reducing its ownership over the years.
In 2014, Nestle sold a 60% stake in Herta to Casa Tarradellas, retaining a 40% minority stake. At the time, the company stated that it was focusing on its core businesses, including coffee, infant nutrition, and pet care. The sale of the remaining stake is seen as a continuation of this strategy, allowing Nestle to concentrate on its high-growth areas.
The terms of the deal were not disclosed, but it is expected to have a minor impact on Nestle’s financials. The company’s decision to sell its stake in Herta is seen as a positive move, as it will allow Nestle to focus on its core businesses and allocate resources more efficiently.
Casa Tarradellas, the buyer, is a family-owned food group based in Spain, with a presence in several European countries. The company has a portfolio of brands in the meat, pastry, and dairy sectors, and the acquisition of Herta is expected to strengthen its position in the European market.
The sale of Herta is also seen as a positive move for the brand itself, as it will allow it to operate under a single ownership structure. Herta’s management has stated that the company will continue to operate independently, with its existing management team and brand identity remaining intact.
Overall, the sale of Nestle’s remaining stake in Herta marks the completion of the company’s exit from the European meat and pastry products market. The deal is expected to have a minor impact on Nestle’s financials, but will allow the company to focus on its core businesses and allocate resources more efficiently. For Casa Tarradellas, the acquisition of Herta is a strategic move to strengthen its position in the European market, and is expected to bring benefits to the brand and its customers.