New Zealand’s iconic ice cream company Tip Top has been sold to international dessert business Froneri for NZ$380 million.
Fonterra CEO Miles Hurrell described the sale as “bittersweet”.
“It’s been a privilege being the guardians of Tip Top, but it’s time to hand the baton to new owners,” he said in a statement earlier today.
“The well-loved brand needs continuing investment and focused ownership to be sustainable for generations to come. It’s not something we’re in a position to do right now.”
Hurrell confirmed Fonterra has signed an agreement to supply milk to the new owners. Fonterra will also retain global ownership of the Kāpiti brand and will licence its use for ice cream to Froneri.
“Tip Top has always listened to consumers and cared about their changing tastes, as well as their long-time favourites. An average of 340 serves of Tip Top are enjoyed every minute of every day,” Hurrell said. “This came through in both the number and quality of bids we received. It’s a fantastic brand and as a result, we’ve secured a good price for our farmers and unit holders.”
Froneri CEO Ibrahim Najafi said the acquisition will enhance scale and supports the business vision of building the world’s best ice cream company.
Froneri plans to maintain the name and its operations, including the Auckland based factory site at Mount Wellington.
Article credit – https://insidefmcg.com.au/