Mondelez Sells Japanese Coffee Venture to Ajinomoto
Mondelez International announced that, as part of its ongoing efforts to further focus its portfolio on snacking products, it has reached an agreement to sell its 50 percent interest in Ajinomoto General Foods (AGF) to its joint venture partner, Ajinomoto Co. AGF manufactures and sells instant, ground and liquid coffee products, as well as other beverages in Japan under brands mainly licensed by Mondelez, including Blendy and Maxim.
In May 2014, Mondelez announced its intention to combine its coffee business with D.E Master Blenders 1753 to create the world's leading pure-play coffee company, to be named Jacobs Douwe Egberts. As part of this, Mondelez's Japan joint-venture partner, Ajinomoto, was invited to join JDE. During these discussions, Ajinomoto expressed a strong interest in acquiring Mondelez International's shares in AGF.
The AGF transaction is scheduled to close by the end of April 2015, subject to limited closing conditions. The stock purchase agreement with Ajinomoto will not have any impact on the proposed JDE transaction, which is expected to close later this year.
In May 2014, Mondelez announced its intention to combine its coffee business with D.E Master Blenders 1753 to create the world's leading pure-play coffee company, to be named Jacobs Douwe Egberts. As part of this, Mondelez's Japan joint-venture partner, Ajinomoto, was invited to join JDE. During these discussions, Ajinomoto expressed a strong interest in acquiring Mondelez International's shares in AGF.
The AGF transaction is scheduled to close by the end of April 2015, subject to limited closing conditions. The stock purchase agreement with Ajinomoto will not have any impact on the proposed JDE transaction, which is expected to close later this year.