BERGEN, Norway – The Norwegian coffee manufacturer Kaffehuset Friele will be acquired by the global, Dutch based coffee company D.E MASTER BLENDERS 1753 N.V. (“DEMB”). DEMB will increase their stake in Kaffehuset Friele to 90 percent from 45 percent.
The remaining ten percent will remain in possession of the Friele family. The Norwegian coffee manufacturer will be instrumental in the further development of DEMB’s European single-origin bean coffee business.
D.E MASTER BLENDERS 1753 N.V. and Friele have been long-standing partners, with DEMB possessing 45% of the Norwegian company already for more than two decades.
At a time when coffee habits are developing rapidly and consumers increasingly become more demanding, it has now been agreed that DEMB will take a controlling stake which allows for full leverage of portfolio and capabilities between the two companies.
The Bergen-facility will become a ‘Centre of Excellence’ for the single-origin bean coffee production within DEMB’s European operational platform. “Kaffehuset Friele is the leading, most renowned coffee company in Norway. Founded in 1799, the company has a strong heritage.
With its number-1 market position, strong brands and successful management, this acquisition fits perfectly in our global pure-play coffee and tea strategy to build on strong brands and strong market positions.
It also creates further opportunities to leverage Friele’s expertise in the rapidly growing single-origin bean coffee market and to benefit from our joint capabilities. We are fully committed to continue to invest in Friele’s strong heritage, brand and local success”, said Pierre Laubies, CEO of DEMB.
“We are going forward with this transaction to strengthen Kaffehuset Friele’s opportunities to address evolving needs of customers and consumers locally and use our expertise in single-origin beans on an international level”, said Herman Friele, chairman of Friele. ”The transaction is a natural development of our 25 year long partnership with DEMB.
Being fully part of DEMB will allow us to be ahead of trends and offer new concepts that will develop in the coffee business. Also, with the rapidly growing demand for whole beans in Europe, we see many opportunities to take our knowhow of single-origin bean coffee beyond the Norwegian borders.”
All coffee production and other activities in Bergen will continue as before and the Friele family will remain actively involved in Kaffehuset Friele. Herman Friele continues as the company’s chairman and Birgitte Friele will also have a seat on the board.
“The Friele Family is confident that this transaction positions Kaffehuset Friele best for the future, both locally and internationally. We have great faith in DEMB’s strategy and the role that Kaffehuset Friele can play within it”, says Herman Friele.
The transaction is subject to regulatory and other customary approvals.
