Nestlé Makes Exit from Dairy and Juice Sectors in Ecuador with Grupa Gloria Deal
Source: The DairyNews
In a strategic move, Nestlé is set to exit the dairy sector in Ecuador through a deal with Latin American food company Grupa Gloria. The transaction involves the sale of a factory and distribution center located in Cayambe, north of the capital, Quito.
Under the agreement, Grupo Gloria will acquire ownership of local brands La Vaquita, Yogu Yogu, Natura, Cereavena, and Huesitos. Additionally, the deal includes the licensing of internationally recognized brands La Lechera and Svelty.
This significant development marks Nestlé's decision to streamline its portfolio, focusing on core business areas. The exit from the dairy sector in Ecuador is part of Nestlé's strategic realignment to enhance its overall business efficiency and adapt to evolving market dynamics.
However, the successful completion of the deal is contingent upon the approval of Ecuador's competition watchdog. Nestlé's decision to cede control of production and distribution in this region reflects a strategic partnership with Grupa Gloria, signaling a shift in market dynamics within the Ecuadorian dairy and juice sectors.
This significant development marks Nestlé's decision to streamline its portfolio, focusing on core business areas. The exit from the dairy sector in Ecuador is part of Nestlé's strategic realignment to enhance its overall business efficiency and adapt to evolving market dynamics.
However, the successful completion of the deal is contingent upon the approval of Ecuador's competition watchdog. Nestlé's decision to cede control of production and distribution in this region reflects a strategic partnership with Grupa Gloria, signaling a shift in market dynamics within the Ecuadorian dairy and juice sectors.
