REGION: Orkla expands in Central Europe with the acquisition of Hamé | Progresiv
Orkla has entered into an agreement to acquire Hamé, a leading branded consumer goods company within food in the Czech Republic and Slovakia. Hamé holds strong market positions in numerous categories that represent a good fit with Orkla's existing portfolio. By joining forces with Hamé, Orkla will double its turnover in Central Europe. 
In the Czech Republic and Slovakia, Hamé holds leading positions in the categories pâtés, ready meals, ketchup, preserved vegetables, jams and baby food. Its iconic brands include Hamé, Májka, Znojmia, and Otma. Hamé also has strong positions in pâtés in Hungary, Romania and Russia.
"The categories offered by Hamé are well-known to Orkla and will complement and strengthen our existing categories. With this transaction Orkla becomes one of the leading FMCG players in attractive markets in Central Europe," says President & CEO Peter A. Ruzicka.
Orkla's existing assets in Central Europe include Vitana (the Czech Republic and Slovakia), Felix Austria, and Orkla Foods Romania.
"With Vitana and Hamé, Orkla becomes an attractive supplier to the grocery trade in the Czech Republic and Slovakia, and the transaction will also strengthen our operations in Romania. A stronger foothold in Central Europe will ensure that Orkla is well positioned for further growth in these markets", says Atle Vidar Nagel-Johansen, Orkla EVP and CEO of Orkla Foods.
Hamé has approx. 2,400 employees and ten production sites. The company's headquarters is located in Kunovice in the south-eastern part of the Czech Republic.
Hamé achieved gross sales in 2014 of 4.9 billion crowns and a net profit of 234 million crowns. 70% of sales is generated from the Czech Republic and Slovakia. The seller is Decapterus S.à.r.l., a Luxembourg based private equity holding company. The parties have agreed on a purchase price of 175 million euros (on a debt-free basis). The purchase price will be funded through Orkla's existing credit facilities.
The agreement is subject to the approval of the relevant competition authorities.
Orkla is a leading supplier of branded consumer goods and concept solutions to the grocery, out-of-home and bakery markets in the Nordics, the Baltics and selected markets in Central Europe and India. Orkla is listed on the Oslo Stock Exchange and has its head office in Oslo. In 2014, the Group had a turnover of 30 billion Norwegian crowns, and around 13,000 employees at year-end. (www.euroinvestor.com)
