DEERFIELD, Ill., Feb. 27, 2015 /PRNewswire/ -- Mondelez
International, Inc. today 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, Inc. (AGF) to its joint venture partner, Ajinomoto
Co., Inc. AGF manufactures and sells instant, ground and liquid
coffee products as well as other beverages in Japan under brands mainly licensed by Mondelez
International, including Blendy and Maxim.
In May 2014, Mondelez
International 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
(JDE). As part of this, Mondelez International'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.
Upon closing of the stock purchase agreement, Mondelez
International will receive pre-tax cash proceeds of ¥27 billion.
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 2013, AGF generated more than ¥100 billion1 in net
revenue. It has 700 full-time employees and two factories in
Gunma and Suzuka, Japan.
About Mondelez International
Mondelez International, Inc. (NASDAQ: MDLZ) is a global snacking
powerhouse, with 2014 revenue of $34
billion. Creating delicious moments of joy in 165
countries, Mondelez International is a world leader in chocolate,
biscuits, gum, candy, coffee and powdered beverages, with
billion-dollar brands such as Cadbury, Cadbury Dairy
Milk and Milka chocolate, Jacobs coffee, Oreo,
LU and Nabisco biscuits, Tang powdered beverages
and Trident gum. Mondelez International is a proud member of
the Standard and Poor's 500, NASDAQ 100 and Dow Jones
Sustainability Index. Visit www.mondelezinternational.com and
www.facebook.com/mondelezinternational.
Forward-Looking Statements
This press release contains a number of forward-looking
statements. Words, and variations of words, such as "will,"
"expect," "intend" and similar expressions are intended to identify
these forward-looking statements, including, but not limited to,
statements about: the timeframe for completing and proceeds to be
received in the transaction; and our entry into and the timeframe
for completing the coffee transaction. These forward-looking
statements are subject to a number of risks and uncertainties, many
of which are beyond Mondelez International's control, which could
cause Mondelez International's actual results to differ materially
from those indicated in these forward-looking statements. Such
factors include, but are not limited to, the risk that the parties
will fail to successfully complete these transactions on the
anticipated timeframes. Please also see Mondelez International's
risk factors, as they may be amended from time to time, set forth
in Mondelez International's filings with the SEC, including its
most recently filed Annual Report on Form 10-K. Mondelez
International disclaims and does not undertake any obligation to
update or revise any forward-looking statement in this press
release, except as required by applicable law or regulation.
1 Net revenue adjusted to U.S. GAAP
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SOURCE Mondelez International