Orkla Acquires Eis Gräbner, Expands Ice Cream Ingredients in Germany
08 May 2017 --- Orkla Food Ingredients has, through its wholly owned subsidiary Eisunion GmbH, signed and completed an agreement to purchase 100% of the shares in the German sales and distribution company Eis Ludwig Gräbner GmbH (“Eis Gräbner”).
With the acquisition of Eis Gräbner, Orkla Food Ingredients will strengthen its position as a supplier of ice cream ingredients and accessories.
Orkla Food Ingredients is one of Europe’s leading suppliers of ice cream ingredients and accessories, with a presence in the Nordic region, Germany, the Netherlands and the UK. With the acquisition of Eisunion GmbH in 2015, Orkla Food Ingredients established a strong market position in southern Germany. Eis Gräbner is based in northern Germany, and thus complements Eisunion’s geographical presence.
“The purchase of Eis Gräbner complements Orkla’s current position in the ice cream ingredients and accessories segment in Germany. The acquisition offers potential for expanding our product range, broadening our distribution and realising synergies with our present operations,” says Pål Eikeland, Orkla EVP and CEO of Orkla Food Ingredients.
Tor Osmundsen, leads Ice Cream Ingredients operations at Orkla. He told FoodIngredientsFirst: “Outside of Italy, Germany is the largest market for Gelato (Italian style Ice Cream) in the world. Therefore, it is high on our agenda in NIC to build further on our leading position in this market. With the acquisition of Eis Gräbner we are expanding our coverage of Germany to include the North, reaching 80% geographical coverage. This has been the primary strategic driver, as it makes us more attractive for national customers and for suppliers seeking partnerships in the German market. In addition the acquisition is expected to generate operational synergies within sourcing, logistics and administration. On the service and market perspective, Eis Gräbner will provide a very strong technical team for Ice Cream machine maintenance and installation, as well as a sales team with insight and relations in the North German Gelato market.”
Eis Gräbner is a privately owned company established in 1929 and has 18 employees. The company’s head office and warehouse are located in Hannover, Germany. In 2016, Eis Gräbner had a turnover of EUR 6.5 million (approx. NOK 61 million). Several cost measures have been identified and will be implemented over the next two years.
The company will be consolidated into Orkla’s financial statements as of 1 May 2017. The parties have agreed not to disclose the purchase price.
by Elizabeth Green
