Nestlé East & Southern Africa unveils strategic decision to sharpen business focus and chooses Lactalis for sale of NESTLÉ CREMORA business
Nestlé East & Southern Africa Region (ESAR) reaffirms its long-term commitment to the region’s economic development by evolving its business model to stay competitive and sustainable. As part of this strategy, Nestlé’s presence in the region, has made the pivotal decision to divest its NESTLÉ CREMORA business, a beloved creamer brand that has been a staple in South African households for over 77 years, widely cherished by coffee and tea drinkers.
NESTLÉ CREMORA is currently manufactured in South Africa across two facilities located in South Africa (Babelegi and Potchefstroom) as well as Harare, Zimbabwe. Its distribution spans across the East and Southern Africa Region, excluding countries in the East and Horn of Africa. This decision will impact operations in Harare, where production of CREMORA will cease, and focus will shift to brands such as NESTLÉ EVERYDAY and NESTLÉ CEREVITA. This strategic realignment will ensure the Harare facility remains an integral part of Nestlé’s efforts to drive future investments and sustainable development within Zimbabwe.
Following a meticulous evaluation process, Nestlé has decided to sell the NESTLÉ CREMORA business to Lactalis South Africa (SA) pending regulatory approval. Lactalis is a 90-year multinational food company. In South Africa, the company is home to quality and trusted brands such as Président, Parmalat, Melrose, Steri Stumpie and Bonnita; with operations in the Western Cape, Eastern Cape, Gauteng and KwaZulu Natal.
Commenting on this strategic move, Nestlé’s Head: External Communications, Mota Mota stated, "this decision was reached after considering various factors and was not taken lightly. We believe that CREMORA is in good hands with Lactalis SA - a leading food company known for its expertise and commitment to excellence. This transition is in the best interests of our business, employees, customers, partners, and consumers, ensuring that CREMORA continues to thrive and deliver quality products under new ownership.
As we embark on this transition period, the welfare of our employees remains a top priority, with assurances that job security, remuneration, and benefits will remain unaffected. We express our heartfelt gratitude to our dedicated workforce for their hard work and commitment in building NESTLÉ CREMORA into the household name it is today,"
Commenting on the acquisition, Lactalis SA’s General Manager, Herman Janse van Rensburg said: “We are excited to welcome this iconic brand to Lactalis South Africa. This move aligns with our strategy of innovation and diversification of our product offering to cater to local consumer preferences. Furthermore, we look forward to welcoming our new colleagues to the Lactalis SA family as we continue to build on the rich heritage of CREMORA together to ensure seamless continuity for customers and consumers.”
Contact:
Nestlé East and Southern African Region (ESAR)
Mota Mota
Head: External Communications
Tel: +27 (0)78 457 6516
Email: [email protected]
Lactalis South Africa
Millicent Molete
Head: Communications
Tel: +27 (0)64 753 3332
Email: [email protected]
About Nestlé
Nestlé is the world’s largest food and beverage company. It is present in 187 countries around the world, and its 291,000 employees are committed to Nestlé’s purpose of unlocking the power of food to enhance quality for everyone, today and for generations to come. Nestlé offers a wide portfolio of products and services for people and their pets throughout their lives. Its more than 2,000 brands range from global icons like Nescafé or Nespresso to local favourites like Ricoffy. Company performance is driven by its Nutrition, Health, and Wellness strategy. Nestlé is based in the Swiss town of Vevey where it was founded more than 150 years ago.
About Lactalis South Africa
Lactalis South Africa is part of the Lactalis Group – the world’s largest dairy company which was founded in 1933 in France. The Lactalis Group has 270 production sites with more than 85500 employees in 51 countries. Lactalis South Africa manufactures many of South Africa’s favourite brands including President, Parmalat, Melrose, Bonnita, and Steri Stumpie. The company has operations in the Western Cape, Gauteng, Eastern Cape, and KwaZulu Natal with a total staff complement of 2700 employees.