Dive Brief:
- Nestle has sold its ice cream business in Mexico to Grupo Herdez in a deal worth about $68.7 million. Under the deal, Grupo Herdez secures a license to sell Nestle brands of ice cream.
- The purchase adds to Grupo Herdez's already extensive holdings. The company manufactures a wide variety of food items and has licensing/distribution deals with Barilla and McCormick & Co.
- The purchase includes an ice cream and frozen foods plant Lagos de Moreno, Jalisco.
Dive Insight:
Nestle has made it clear time and time again that it wants to sell off its underperforming units. So the divestment of the Mexican ice cream business shouldn't surprise anyone.