Though financial details about the deal have not been disclosed, experts opine that it will amount to tens of millions of euros.

Froneri, the renowned ice cream manufacturer, reportedly entered the Israeli market by acquiring Noga Ice Creams Limited Partnership. Noga is part of Osem Group which is owned by Nestlé. With the acquisition, that is subject to regulatory approval, Froneri will be making its first appearance in Israel.

According to sources close to the matter, the deal marks a milestone through which all of Nestle’s ice cream businesses in North Africa, Europe and Middle East are brought together into the Froneri group.

Froneri CEO, Ibrahim Najafi was quoted saying that Froneri looks forward to furthering the strength of its joint venture with Nestlé. According to Najafi, Froneri’s entrance into Israel takes it a step closer to becoming the world’s best ice cream company.

Najafi added that consumers are important to Froneri for its business and the company intends to invest in local products, brands and flavors that have been in the market in the past 20 years. He said that Froneri is looking forward to welcoming the Noga team into Froneri. The existing management team of Froneri will continue to lead the business post acquisition.

Osem, fully owned by Nestle will, as a part of the deal, sell its holding in Noga. However Nestlé will retain a 50 per cent stake in Noga as it owns one half of Froneri through its joint venture with R&R, a UK company. Though financial details about the deal have not been disclosed, experts opine that it will amount to tens of millions of euros.

Froneri was created in 2016 and is the third largest manufacturer of ice cream in the world. It is also the producer of the largest number of private labels. Having presence in over 20 countries, the company boasted in 2018 of a revenue of €2.6 billion and has 10,000 employees across the globe.

Noga, which is the owner of prominent brands like Crunch, Gumigum, La Cremeria, Extreme and Cookilida has 350 employees. It has plants in Kiryat Malachi, Jerusalem, Haifa, Beer Sheva and Shoham. The company also has exclusive distribution agreement for Haagen Dazs ice cream.

Source Credit:

https://www.froneri.com/news/froneri-acquires-nestl%C3%A9-israel/