Nestlé has struck a deal to sell its ice-cream business in the US to Froneri, the global ice-cream supplier the world’s largest food maker co-owns with private-equity firm PAI Partners.

Froneri, set up in 2016 by Nestlé and PAI Partners, the buy-out house that owned UK-based international supplier R&R Ice Cream, is to pay US$4bn for a business that includes brands like Drumstick, as well as the local licence to Häagen-Dazs.

Go deeper with GlobalData

Data Insights

The gold standard of business intelligence.

Find out more

Related Company Profiles

View all

Mark Schneider, Nestlé’s CEO, said today (11 December): “The creation of Froneri has been a phenomenal success. We are now making this business our global strategic partner in ice cream and are convinced that Froneri’s successful business model can be extended to the US market. With this transaction, we are taking a decisive step towards our goal of achieving global leadership in ice cream.”

Three years ago, Froneri combined Nestlé’s and R&R’s ice cream operations in Europe, the Middle East, Argentina, Australia, Brazil, the Philippines and South Africa. Markets including the US and Israel, however, were not part of the deal at the time. Nestlé moved its ice-cream business in Israel into the Froneri venture in July.

Ibrahim Najafi, Froneri’s CEO, said: “This is another milestone acquisition for Froneri as we drive towards becoming the world’s best ice-cream company.”

The US deal is expected to be finalised in the first quarter of 2020, following the completion of customary regulatory approvals. Nestlé will continue to manage its ice-cream businesses in Canada, Latin America and Asia.

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.