Unilever acquires Bulgarian ice cream producer Denny Ice Cream | Progresiv
British giant Unilever acquired Bulgarian ice cream maker Denny Ice Cream. The deal value was not disclosed. The agreement is subject to regulatory approval by the Bulgarian competition authorities. 
Founded in 1993 by Bulgarian entrepreneurs Tsvetan Tsvetanov and Roumen Danchev, Denny Ice Cream is one of the largest local ice cream makers in Bulgaria with a turnover of 6.2 million euros in 2017 and 100 employees. The company owns a factory in Veliko Tarnovo and has a strong local distribution chain.
Unilever's ice cream division and Denny Ice Cream will merge, combining Unilever's global know-how and capabilities with Denny Ice Cream's local experience and knowledge. Tsvetan Tsvetanov is appointed Managing Director of the new Bulgarian ice cream division, part of Unilever South Central Europe.
"We are delighted to welcome Denny Ice Cream to the Unilever family. Their knowledge of the local market makes the brand one of the most loved by Bulgarian consumers. I am also happy with the fact that Tsvetan Tsvetanov will join us as he is an exclusive entrepreneur. It will play a key role in creating a bright future for the new business", said James Simmons, Managing Director of Unilever South Central Europe.
"We are proud that in the last 25 years we have built such a big business in Bulgaria. We believe our legacy and knowledge are perfect for Unilever. By joining the portfolio of a leading global ice cream maker, Denny Ice Cream will be beneficial", said Tsvetan Tsvetanov, managing director of Denny Ice Cream.
Denny Ice Cream is a relatively young company. In the spring of 2016, the company opened a new factory in the industrial zone of the town of Debelets, Veliko Tarnovo, built with investments of over 5 million leva and modern equipment from Italy, which according to the 10-year investment program will cost about 5 million. euro. The new ice cream factory has a capacity of 60 tons of ice cream a day, which is 3 times more than the previous production. In addition, the company implements an energy-saving system that allows it to cut costs by up to 30%. This system is complemented by solar panels.
Over the last few years, the ice cream market in the country is estimated at about 100 million leva per year. It is dominated by world giants Nestle and Unilver.
This is not the first deal for a Bulgarian manufacturer. In 2005, the Swiss food giant Nestlé, through its Greek subsidiary Nestlé Hellas, acquired the ice cream maker Delta Ice Cream for about 240 million euros . Nestlе acquired a 96% stake in Delta Holdings in Delta Ice Cream, and then the remaining shares.
Unilever entered Bulgaria in 2011 after the subsidiary of FMCG for Central and South Europe bought the Darko ice cream brands, the distribution network (sales) and the production department of the then-owner Balkan Accession Fund. Darko was the second largest ice cream company in Bulgaria to sell famous brands such as Eskimo, Casablanca, Weekend, Magic Ice, Free, Belinda, Alaska and Milka in the impulse and family ice cream category. "Darko" was founded as a Bulgarian producer of ice creams, ice cream cakes and other desserts in 1991 in Sofia. In 2005, the regional equity fund with a capital of 110 million Balkan Accession Fund acquired the ice cream company. (www.investor.bg)
