Kraft Cadbury Argentina

It may not be the perfect deal worldwide, but Kraft/Cadbury has them smiling in Argentina.

Judging by today’s headlines, Kraft’s $19.44 billion purchase of U.K.-based Cadbury Plc. is not going down well with most market insiders: Warren Buffett went on CNBC and said he “felt poorer” (after Kraft upped the ante by almost $3 billion) and MarketWatch’s Simon Constable warns, “Kraft is going to get indigestion from gobbling Cadbury.”

While the deal may present major challenges in terms of leverage and global integration, at least it makes sense in one of the 155 countries where Kraft Foods operates: Argentina. Martín Bidegaray at Clarín offers a good analysis and ranking of both Kraft and Cadbury’s offerings in the local market and finds two very complementary brand portfolios.

Kraft has candies, chocolates and crackers like Terrabusi, Pepitos, Milka, Variedad, Melba and Tita, while Cadbury is Argentina’s King of Chicles with brands like Bubbaloo and Beldent. And just as the acquistion will put Kraft/Cadbury that much closer to global market leader Nestle, so too in Argentina will the new duo be better positioned to take on local market leader, Arcor, which dominates several of the local candy/cookie/cracker segments and generates annual revenues in excess of $2.2 billion.

For more information about Buenos Aires investment opportunities, download IncomeBA and the new issue of InvestBA Privada.

Print Friendly
Share →

One Response to Kraft/Cadbury Makes Sense in Argentina

  1. [...] This post was mentioned on Twitter by InvestBA, InvestBA. InvestBA said: Dulce: Why Kraft/Cadbury makes sense in Argentina; complementary brand portfolios & a real chance to challenge Arcor. http://bit.ly/6sy9Ur [...]

Add Comment Register



Leave a Reply

  • rankings 00
    Click for More Information
  • rankings 01
    Haga Clic para Más Información
  • rankings 02
    Clique para Mais Informações
  • rankings 03
    Clicca per Maggiori Informazioni
  • rankings 04
    Cliquez pour Plus d'Informations
  • rankings 05
    Klik voor Meer Informatie
  • rankings 06
    Klicken für mehr Informationen
  • rankings 07
    点击获取更多信息
  • rankings 08
    нажмите здесь
  • rankings 09
    यहां क्लिक करें
Quality of life. Affordability. Safety. Transparency. How do Argentina & Uruguay rank globally?
  • Uruguay Agribusiness Investments
    Click for More Information
  • Uruguay Agribusiness Investments
    Haga Clic para Más Información
  • Uruguay Agribusiness Investments
    Clique para Mais Informações
  • Uruguay Agribusiness Investments
    Clicca per Maggiori Informazioni
  • Uruguay Agribusiness Investments
    Cliquez pour Plus d'Informations
  • Uruguay Agribusiness Investments
    Klik voor Meer Informatie
  • Uruguay Agribusiness Investments
    Klicken für mehr Informationen
  • Uruguay Agribusiness Investments
    点击获取更多信息
  • Uruguay Agribusiness Investments
    нажмите здесь
  • Uruguay Agribusiness Investments
    यहां क्लिक करें
Cattle, crop and timber farm investments in Uruguay plus agribusiness news & analysis.
  • South America Hotel News
    Click for More Information
  • South America Hotel News
    Haga Clic para Más Información
  • South America Hotel News
    Clique para Mais Informações
  • South America Hotel News
    Clicca per Maggiori Informazioni
  • South America News
    Cliquez pour Plus d'Informations
  • South America Hotel News
    Klik voor Meer Informatie
  • South America Hotel News
    Klicken für mehr Informationen
  • South America Hotel News
    点击获取更多信息
  • South America Hotel News
    нажмите здесь
  • South America Hotel News
    यहां क्लिक करें
New construction, luxury living, coastal properties and hospitality trends in Argentina & Uruguay.