Agrifoods giant Cargill is to acquire the tomato sauce and paste business of Unilever in Brazil for around R$600m, bringing leading brands into the fold as well as solidifying its supply relations with Unilever.
Cargill has a number of facilities in Brazil, in Mairinque (São Paulo State), São José do Rio Pardo (São Paulo State) and Itumbiara (Goiás State), which are operated by Cargill Foods Brazil. The subsidiary owns a number of important olive oil and sauce brands in that market.
The latest deal will bring it the consumer brands Pomarola and Tarantella tomato sauce, Elefante and Extratomato paste, and Pomodoro brand pulp – as well as Unilever's site in Goiânia (Goiás State) and tomato manufacturing facility.
Unilever will supply to food service sector, and will continue making other products on the site adjacent to Cargill's operations.
The deal is expected to be concluded by the end of this year, as long as the necessary regulatory approvals are granted.