Mondelēz International has struck a deal to sell its developed-market gum business in the U.S., Canada and Europe to European gum and confectionery maker Perfetti Van Melle Group for US$1.35 billion.
The company announced plans to divest of its gum business back in May. The The deal includes the sale of manufacturing facilities in Rockford, IL and Skarbimierz, Poland and the gum brands Trident, Dentyne, Stimorol, Hollywood, V6, Chiclets, Bubbaloo and Bubblicious, as well as European candy brands Cachou Lajaunie, Negro and La Vosgienne.
Mondelēz International will continue to operate its gum business outside the U.S., Canada and Europe, led by Stride in China, as well as all of its other candy brands and products.
Perfetti Van Melle portfolio of global brands includes Mentos, Chupa Chups and Alpenliebe.
The decision is part of the company’s portfolio reshaping strategy, which includes a reinvestment in its core chocolate, biscuit and baked snack categories.
“As we continue progressing our Vision 2030 focus and acceleration strategy, doubling down on our core snacking categories, we are pleased to transition our developed market gum business to a values-led, family-owned company whose portfolio is a strategic fit, and where our brands and people can thrive,” said Dirk Van de Put, Chairman and CEO, Mondelēz International.
The transaction is expected to close in Q4 of 2023.