Ferrara Candy Company to Acquire Dori Alimentos in Brazil

Ferrara Candy Company, a U.S. candy manufacturer based in Chicago, Illinois, announced on July 24, 2023, an agreement to acquire Dori Alimentos, one of Brazil’s leading manufacturers and distributors of sweets and snacks. The transaction is expected to close in the fourth quarter of 2023, and the acquisition will allow Ferrara to expand its portfolio and its presence in Brazil.

Transaction Summary

The Facts of the Acquisition

  • Target: Dori Alimentos is a leading sweets and snacks manufacturer and distributor in Brazil. It sells in Brazil and exports to more than 40 countries on five continents. It has been in business since 1967.
  • Acquirer: Ferrara Candy Company, the largest sugar confections company in the United States, is a non-chocolate candy maker. It has production facilities in Mexico and the United States. It has internally developed brands plus a portfolio of candy lines acquired from Nestlé. It is a subsidiary of Italy-based Ferrero Group, known for the Ferrero Rocher brand.

Our Take on the Acquisition

Dori Alimentos (target) has three divisions: peanut snacks, sweet snacks, and chocolate snacks. Each makes complementary products to Ferrara Candy Company’s (acquirer) sugar confections. The acquisition will give Ferrara access to this portfolio, which it can market and distribute across the United States far more aggressively than if Dori Alimentos were to continue to export on its own. Equally, Ferrara can now market and distribute its products in Brazil.

The Transaction

Date:July 24, 2023
Purpose: To acquire a portfolio of products and expand geographically in Brazil.
Acquirer’s Statement:Marco Capurso, CEO of Ferrara – “Dori is a great fit with Ferrara, with a complementary portfolio of candies, similar heritage and a values-driven internal culture. We have deep admiration for Dori’s products and extraordinary team. We are excited to enter the fast-growing Brazilian market and create tremendous opportunity ahead for both Dori and Ferrara.”

Target/Seller: Dori Alimentos

Company Information

Target:Dori Alimentos
Industry: Confectionery Manufacturing
Type:Unlisted public company
Employees:3,100 (Source: Ferrara Candy Company)
Locations:Head Office: 5159/85 Distrito Ave República, Marília, São Paulo, Brazil

Production Facility #1: R. Pedro Martins Parra, 855 – Distrito Industrial Santo Barion, Marília, São Paulo, Brazil
Production Facility #2: Av. Carlos Rosin, 230 – Distrito Industrial, Marília, São Paulo, Brazil
Production Facility #3: Av. Itamaraty, 1324 – Parque Industrial Bandeirantes, Rolândia, Brazil
Production Facility #4: Av. Yusaburo Sasazaki, 1600 – Sitios de Recreio Leticia, Marília, São Paulo, Brazil

Product Information 

Products (a partial list):Licorice – A confection flavored and colored black with the extract of the roots of the licorice plant
Gumdrops – A gummy candy, shaped like a dome and coated in granulated sugar
Chocolate Eggs – Milk chocolate made in the shape of an egg
Lollipop – Hard, flavored sugar candy on the end of a small stick
Chewy Candy – Gelatin-based chewable sweets like gummy bears
Jelly Beans – Small bean-shaped sugar candies with soft candy shells
Peanuts and Peanut Snacks – Regular and sugar-coated peanuts
Chocolate Lentils – Individual lentils covered with chocolate
Sour Jelly – Candies that are both sour and sweet
Sour Fruit Snacks – Sour candies with fruit flavors
Filled Tube – Sweet, hard candy tube with fruit flavors
Market Reach:More than 40 countries. Main markets outside Brazil:
South Africa
United States

Financial Information 

Revenue:USD $372.2 million (Unconfirmed Source: ZoomInfo)
Revenue per Employee:USD $120,129 (i.e., USD $372.2 million / 3,100 employees = USD $120,129 – estimated based on the number of employees reported by Ferrara Candy Company and the revenue from ZoomInfo)

Did You Know?

The global, non-chocolate candy market was valued at USD $87.59 billion in 2021, according to Data Bridge Market Research, and is expected to reach USD $134.42 billion by 2029. That’s a compound annual growth rate of 5.50%. Various governments’ rules on the sugar content in chocolates, and certifications such as vegan, organic, GMO free, sugar free, and more are likely to create opportunities for manufacturers.

Target/Seller Overview: Dori Alementos

Dori Alimentos produces snacks and confectionery in Brazil. With more than 56 years of history, Dori is one of Brazil’s largest companies in the segment. It operates and sells under various brands – Dori, Pettiz, Gomets, Yogurte 100, Bolete, Deliket, and Disqueti. In addition to selling nationally, Dori exports to more than 40 countries on five continents. Its main markets outside Brazil are the United States, Canada, Chile, South Africa, and Uruguay.

Dori Alimentos sells a wide variety of snacks and confectionery.

Buyer/Acquirer: Ferrara Candy Company

Company Information

Buyer:Ferrara Candy Company
Parent Company:Ferrero Group
Industry: Confectionery Manufacturing
Employees:4,600 (Source: Ferrara Candy Company)
Locations:Head Office: 404 W Harrison St, Suite 650, Chicago, Illinois, United States

United States
Production Facility #1: 30oo Washington Blvd, Bellwood, Illinois, United States
Production Facility #2: 7301 W. Harrison Ave., Forest Park, Illinois, United States
Production Facility #3: 2945 W 31st St, Chicago, Illinois, United States
Production Facility #4: 1445 Norwood Ave, Itasca, Illinois, United States
Packing and Shipping Facility: 1001 e Gurler Rd, DeKalb, Illinois, United States

Production Facility #5: Av. Los nogales Lote 1 Manzana 4 S/N Parque Industrial, Reynosa, Tamaulipas, Mexico
Production Facility #6: Av. Industria Alimentaria 2020, Parque Industrial, Linares, Nuevo Leon, Mexico

Product Information 

Products (a partial list):Atomic Fireball – Round, cinnamon-flavored hard candy
Black Forest – Fruit juice snacks and treats in various shapes
Bobs Candies – Soft mints and candy canes
Boston Baked Beans – Sugar-coated peanut candy
Brach’s – A variety of iconic candies
Chuckles – A soft jelly candy, covered in sugar
Fruit Stripe – Fruit-flavored chewing gum
Jaw Busters – Hard, layered candy that changes flavor with each layer
Jujyfruits – Small, chewy, fruit-flavored candies
Laffy Taffy – Rectangular chewy sweets with jokes included in each wrapper
Lemonhead – Round, lemon-flavored candy with a sweet coating, soft sour shell, and a hard candy core
Nerds – Small, pebble-like candy with a crunch
Now and Later – Bite-sized squares of taffy in different fruit flavors
Rain-Blo – Bubble gumballs in a variety of flavors
Red Hots – Cinnamon-flavored candy
Super Bubble – Bubble gum in a variety of flavors
Trolli – Gummy candies that are both sour and sweetnic materials known as biomass
Market Reach:Worldwide

Financial Information 

Revenue:USD $2.53 billion (Source: RocketReach, an email lookup service)
Revenue per Employee:USD $550,000 (i.e., USD $2.53 billion / 4,600 employees = USD $550,000 – estimated based on the self-reported number of employees and the revenue from RocketReach)

Buyer/Acquirer Overview: Ferrara Candy Company

The Ferrara Candy Company is a U.S. candy manufacturer, based in Chicago, Illinois, owned by the Ferrero Group. Ferrara was formed from a 2012 merger of Illinois-based Ferrara Pan Candy Company and Minnesota-based Farley’s & Sathers Candy Company. In 2017, Ferrero Group acquired the company. Then, in 2018, Ferrero Group bought Nestlé’s U.S. candy line for USD $2.8 billion and handed responsibility for most brands and operations to Ferrara. Ferrara now distributes the most Nestlé confectionery products in the United States.

Ferrara Candy Company sells a variety of confectionery through its in-house brands.
Ferrara Candy Company operates six production facilities in Illinois, United States, and in Mexico.

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