The deal will help Louis Dreyfus expand its business in Brazil, where the group has been operating for more than 80 years.
Louis Dreyfus Company (LDC) has signed an agreement to acquire Brazilian instant coffee producer and exporter, Companhia Cacique de Café Solúvel (Cacique), for an undisclosed sum.
Cacique is one of the largest global independent producers, processors and exporters of soluble coffee in terms of volume. The company has operations in over 70 countries, and the deal incorporates two processing assets in Brazil and a team of approximately 1,000 employees.
The agreement positions LDC “among the world’s largest soluble coffee producers,” said CEO Michael Gelchie. It is the company’s second recent investment in coffee, after it partnered with coffee brand Instant in October last year, jointly launching ILD Coffee Vietnam, a freeze-dried instant coffee facility located in Vietnam’s Binh Duong province.
Ben Clarkson, LDC’s global head of coffee, commented:
“This acquisition will further expand LDC’s business in Brazil, where the group has been active for over 80 years, complementing our existing green coffee merchandising operations in the country.”
Cacique’s board of directors added:
“We are pleased to announce this agreement with LDC, whose global reach and extensive expertise in coffee merchandising will undoubtedly benefit our network of growers and customers, ensuring continued growth in the years ahead.”
The agreement is subject to regulatory approvals and customary closing conditions.
Source: Foodbev
