Froneri, Europe’s second largest ice cream manufacturer and the third largest in the world, is acquiring Noga Ice Creams Limited Partnership (Nestle Ice Cream), subject to regulatory approval. Noga is a subsidiary of Osem-Nestle, which manufactures and distributes Nestle ice cream products in Israel. The deal marks the final step in the integration of Nestle’s ice cream businesses in Europe, the Middle East and North Africa into Froneri, while strengthening its presence in the region. Froneri confirms that the current management will continue to lead the business in Israel and that it intends to invest in the local brands, products and flavours that Nestlé has been exciting the market with for over 20 years
Nestle ice cream is one of the two largest ice cream players in the Israeli market with sales to the retail market amounting to about NIS 318 million (as of 2018). The company has 350 employees, most of them working in the company’s plant in Kiryat Malachi and the others at the company’s sites in Haifa, Shoham, Jerusalem, and Beer Sheva. Among the most prominent brands: La Cremeria, Extreme, Cookilida, Crunch and Gumigum. In addition, the company has an exclusive distribution agreement for the Haagen Dazs ice cream brand.
Three years ago, Nestle merged its ice cream activities in Europe with the British company R&R (owned by PAI Partners) – a merger that created the jointly owned company Froneri, which specializes in ice cream. As of today, Froneri operates in over 20 countries with revenue of €2.6 billion (in 2018) and more than 10,000 employees worldwide. In addition to producing Nestle products, Froneri has the license to market ice cream for well-known brands including the chocolate manufacturer Mondelez, with brands such as Oreos, Milka, Toblerone and others.
Froneri recently acquired the New Zealand ice cream company Tip Top.
Speaking about the deal, Ibrahim Najafi, CEO of Froneri explains: “We’re very excited to be building on the strengths of our existing joint venture with Nestlé. By entering Israel we’re continuing to realise our vision of becoming the world’s best ice cream company.”
Mr. Najafi continues: “Our consumers are at the heart of our business and we intend to invest in the local brands, products and flavours that Nestlé has been exciting the market with for over 20 years. We’re looking forward to welcoming the team into Froneri.”
Marco Settembri, CEO Zone Europe, Middle East and North Africa, Nestlé, commented: “With its continued growth and global prominence in the ice cream market, Froneri’s success speaks for itself. This milestone deal marks the final stage of the transition of our EMENA ice cream businesses into Froneri, further strengthening its presence in the region.”
About Froneri
Froneri is a fast-growth international business with a vision to build the world’s best ice cream company. A passionate challenger brand, we are building the market through a focus on ice cream, delivering value for retailers and consumers. Created in 2016 as a joint-venture between PAI Partners and Nestlé, we are the second largest manufacturer of ice cream in Europe, the third largest worldwide and the number one private label producer worldwide. We are present in over 20 countries with revenues of €2.6bn (2018) and over 10,000 employees worldwide. For more information visit: www.froneri.com
