Friday, June 29, 2018

Nestlé might have to auction off Kid's brands

A business closed for 16 years is not yet fully resolved. Nestle failed to sell a package of ten marks to settle legal questions about the purchase of the Boy, held in 2002. The sale of that package, which includes brands such as Feeling, Love Serenade, Lollo and Ckokito, was determined by the Cade (Administrative Council of economic defense). The deadline ends tomorrow (29/06). Nestlé should apply for a May deadline to set the negotiations. Already did that last year, he couldn't negotiate the marks until October 2017, first date stipulated. On the difficulties in meeting the demands, Cade may request change in package, including brands with greater appeal. Another possibility is to ask for the sale of the brands without minimum price, what you can do with that Nestlé has to sell them even if the oferecisos values are considered low. The agreement already set, Cade prevents the sale of brands to a competitor, which reduced the list of likely buyers, making the viability of the business. The buyer must be approved by Cade before the closing of the deal. Remove the marks of movement is, according to Cade, "out of the question", since it would mean taking the market important brands, including to represent future competition with Nestlé. If the measurements are not fulfilled, the Cade may fail to buy the Boy and ask the sepração of companies, even having passed 16 years of purchase by Nestlé.
Supermercado Moderno - 28/06/2018 News Item translated automatically
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