Moscow, Russia – November 16, 2006 – Wimm-Bill-Dann Foods [NYSE: WBD], Russia’s leading producer of food and beverage products, today completed the acquisition of the Moscow-based dairy producer Ochakovo. The transaction has already been approved by the Federal Anti-Monopoly Service of the Russian Federation. This deal is in line with Wimm-Bill-Dann’s declared strategy of expanding its business through the selective acquisition of successful companies which occupy leading market positions in their respective regions and possess strong brand portfolios.
Ochakovo Dairy Plant is the forth largest dairy producer in Russia and one of the largest dairy enterprises in Moscow. According to AC Nielsen data, the enterprise’s average market share in 2006 was 3.1% of the Russian and 8.4% of the Moscow dairy market. The plant produces milk, sour cream, yogurts, cheese curds and other dairy products under a strong brand portfolio (including brands such as 33 Cows, Pastushok, Kremlin Products and Actilife).
Commenting on the deal, Tony Maher, Wimm-Bill-Dann’s Chief Executive Officer, said: “Ochakovo Dairy Plant with its long history, well-established national brands and strong customer loyalty, earned through sustained high quality and a wide proposition, is a welcome addition to our existing facilities and brand portfolio. Wimm-Bill-Dann is all about Health and Wellness, and I am convinced that Ochakovo’s brands will fit very well into the brand portfolio we want to take forward. We have always benefited from our unmatched knowledge of the Russian consumer and marketplace. Now, we believe we have the opportunity, not only to extend our product offering, but also expand our production capacity to manufacture these top quality products.”
Ochakovo Dairy Plant is located in Western Moscow while Wimm-Bill-Dann’s Lianozovo Dairy Plant is located in the North of the city and Tsaritsyn plant in the Southeast. Hence, these three plants fit together well geographically, covering a large swathe of the city and the surrounding Moscow Region.
|
