Nestlé and Fonterra to Extend Dairy Partners Americas (DPA) Activities to Chile

Nestlé Chile S.A. and Soprole S.A. will each hold 50% of the new company called DPA Chile S.A. DPA Chile will be part of the Dairy Partners Americas (DPA) alliance, established in March 2002 between Nestlé S.A. and Fonterra, under which a number of local joint ventures at country level have been put in place across Latin America.

29 Nov 2010 --- Nestlé S.A. and Fonterra Co-Operative Group Ltd. announced the agreement to establish a joint venture for chilled and liquid dairy products in Chile between their local subsidiaries Nestlé Chile S.A. and Soprole S.A.

The formation of the joint venture is being submitted to the Chilean antitrust authorities and is subject to regulatory approval.

The joint venture includes the manufacturing, retailing and distribution of liquid milks, yoghurts, desserts, fruit juices, cheese, cream, butter and margarine in Chile. The joint venture excludes other parts of the two companies’ dairy businesses, such as powdered milk, condensed milk and dairy ingredients, products for export and non-dairy products.

Nestlé Chile S.A. and Soprole S.A. will each hold 50% of the new company called DPA Chile S.A. DPA Chile will be part of the Dairy Partners Americas (DPA) alliance, established in March 2002 between Nestlé S.A. and Fonterra, under which a number of local joint ventures at country level have been put in place across Latin America.

Luis Cantarell, Nestlé S.A.’s Executive Vice President and Director of Zone Americas, said: “We are excited about the prospect at expanding the DPA alliance to Chile. DPA Chile will leverage on the capabilities and strengths of both Nestlé Chile and Soprole to further develop the dairy market in Chile. It is a sign of our commitment to the chilled and liquid dairy category in Latin America.”