NESTLE SELLS TWO EU COCOA PLANTS.(European)(Acqisitions and mergers )(Brief Article)

Europe Agri, July, 2004

The world's biggest food and drinks group, Nestle, said on June 30 it was selling two European cocoa bean processing plants to the US commodities giant, Cargill. The purchase price has not been disclosed. The Swiss company said it was selling the plants in the British city of York and the German port of Hamburg because it wanted to focus on its branded consumer products.

The sale will go ahead on October 1, once it receives regulatory approval. According to the deal, Cargill will supply cocoa products to Nestle's European confectionary businesses. The US firm already has cocoa plants in the Netherlands, France and the Ivory Coast.