In a key twist of events taking place across the food & beverages industry, Nestle S.A. has declared its decision to buyout a substantial proportion of shares in Terrafertil. The company, a natural & organic plant foods firm based in Ecuador, boasts of a mammoth presence across the U.S., Britain, and South America. According to MarketWatch, Terrafertil has four plants in Columbia, Ecuador, Chile, and Mexico with a total employee strength tallying up to 400.
Nestle’s official release states that this strategic move is aimed at expanding its geographical presence in Latin America, the U.S., and the UK. This megadeal apparently encompasses all of Terrafertil’s business operations & assets across the seven nations in which the firm has based its business operations.
Reuters has reported that the decision to acquire Terrafertil is based on Nestle’s aim to expand its business across healthy foods sector with a view to offset its drawbacks in the packaged food business. The CEO of Nestle Zone Americas has stated that Terrafertil’s organic & healthy food products are likely to majorly contribute toward Nestle’s healthy product portfolio. He further added that Nestle’s association with Terrafertil will help the Swiss food & drink firm to increase its presence across the rapidly emerging healthy snacks, plant-based foods, and beverage sectors.
As per authentic sources, Terrafertil will continue its operations as a standalone unit, governed by its founders. In fact, the firm’s founding partners state that its collaboration with Nestle will bring forth a host of benefits for its goldenberry producing business. They further asserted that Nestle’s experience in R&D field, its operational efficiencies, and marketing & branding expertise will help Terrafertil to further grow its business.
Analysts speculate these collaborations between the SMBs and large enterprises to leave a rather positive impact on the food and beverage sector.
Dhananjay develops content for Market Size Forecasters. A post graduate in mathematics as well as business administration, he worked as a process executive in Infosys BPO Limited before switching his professional genre. Following his childhood passion, he opted for a career in writing and now pens d...