SWEDEN. Swedish confectionery manufacturer Cloetta Fazer AB announced today that its board intends to make a recommendation to its shareholders concerning a public offer from Oy Karl Fazer AB (known as Fazer) on 23 March.
On 18 February Fazer announced it had acquired 958,148 class B shares in Cloetta Fazer and had made a public offer to the shareholders. Following the acquisition, Fazer owns 2,300,000 class A shares and 3,504,561 class B shares in Cloetta Fazer, equivalent to 24.1% of the shares and 40% of the votes.
At the time of the share acquisition Fazer President and CEO Berndt Brunow said: “Fazer Group’s ownership in Cloetta Fazer has from the beginning been strategic. Therefore it is natural for us to increase our holding in the company and thus take a bigger owner’s responsibility for activities.”
According to the offer, Fazer is offering SKr240 for each share of class A and class B in Cloetta Fazer, and for each warrant 2002/2006 issued by Cloetta Fazer SKr30 is offered in cash.
The Cloetta Fazer Group is the Nordic region’s leading confectionery company, with a market share of around 22%. The company has production facilities in Sweden, Finland and Poland.
The company’s brands include Dumle, Geisha, Polly and Center. Annual sales in 2004 stood at about SKr3 billion.
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