Nestle acquires a majority stake in Brazilian premium chocolate maker

Nestle announced on Thursday that it is purchasing a majority stake in Grupo CRM, a Brazilian premium chocolate maker.

In addition to more than 1,000 chocolate shops operating under the Kopenhagen and Brasil Cacau brands, Grupo CRM also has a significant and expanding online presence, according to Nestle.

The deal, which is anticipated to close in 2024, was not made public by Nestle, which is purchasing the stake from private equity firm Advent International.

On Wednesday, the website Brazil Journal stated that Nestle would pay roughly 3 billion reais ($602.78 million) for the business, although the local newspaper Valor Economico stated that the sum was actually 4.5 billion reais ($904.18 million).

Renata Moraes Vichi, according to Nestle, will continue to serve as CEO of Grupo CRM and a minor shareholder.

The executive, who has been with the business for 25 years, has helped Grupo CRM, which only conducts business in Brazil at the moment, grow significantly.

In order to increase its market share in the super-premium chocolate market, Nestle made the acquisition.

The company's Kopenhagen brand chocolate bars cost 29.90 Rials (about $6), while a box of chocolates costs about 130 Rials.

According to Laurent Freixe, CEO of Nestle for Latin America, this acquisition further strengthens and expands our confectionery presence in Brazil, allowing us to break into the high-end market.

Brazilian consumers adore the premium chocolates that are offered by Kopenhagen and Brasil Cacau.

After more than 20 years since the initial announcement, the Brazilian competition watchdog Cade approved Nestle's acquisition of Chocolates Garoto in June.

For five years, the company agreed not to make any acquisitions that would account for at least 5% of the Brazilian chocolate market as one of the requirements for approval.