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Competition Bureau won’t oppose Parmalat’s $1.6B purchase of Kraft Heinz cheese


OTTAWA – The Competition Bureau says it will not oppose the proposed $1.6 billion sale of Kraft Heinz Canada’s natural cheese division to Parmalat.

The federal agency says it conducted a review by gathering information and conducting interviews with key market participants, including grocery retailers, food service companies, regulators, industry associations, and cheese processors.

And for the first time since 2009 amendments to the Competition Act, the bureau obtained a Federal Court order requiring executives of the merging entities to be interviewed under oath by bureau investigators.

The deal would see Parmalat Canada take over cheese brands Cracker Barrel, P’tit Quebec and Amooza.

It would also include the purchase of Kraft’s Ingleside, Ont., processing plant, which employs nearly 400 people who would be transferred to Parmalat.

The company said at the deal’s announcement in November that the acquisition would help grow its business and include further investment after it closes in the first half of 2019.

 

News from Canadian Press Enterprises Inc. © 2018