Mondelēz acquires licence to produce Cadbury-branded biscuits

Burton's Biscuit Co has already introduced Cadbury biscuits to the US market

Cadbury owner Mondelēz International has bought the licence to produce Cadbury-branded biscuits from UK manufacturer Burton’s Biscuit Company.

The licence enables Mondelēz to manufacture, market and sell Cadbury-branded biscuits including Cadbury Fingers and Cadbury Animals around the world, including in the UK, France, Ireland, North America and Saudi Arabia.

Cadbury-branded biscuits will continue to be produced in Burton’s factories by Burton’s employees under a co-manufacturing agreement. Burton’s describes itself as the second largest cookie manufacturer in the UK, operating three production plants in the country and also manufacturing private label products and brands including Maryland Cookies.

The businesses have not disclosed financial details of  the transaction, which is subject to regulatory approval and closing conditions.

'Accelerate global growth'

"Ownership of the Cadbury biscuits license offers us exciting opportunities to accelerate global growth and innovation," said Mondelēz Europe executive vice president and president Hubert Weber.

"The transaction will help us to unify and expand our global Cadbury biscuits portfolio in key markets and enable us to explore new products by using the best of our chocolate and biscuit innovation platforms."

Burton’s said it has grown the Cadbury biscuit business to become one of the "leading biscuit brands around the world", with strong positions in the UK and Ireland, and established and growing businesses in France, North America and the Middle East.

Cadbury Fingers was launched in the US by Burton’s last September, and the company this year announced it would be bringing Cadbury Mini Fingers and Wispa Biscuits to the American market.

Burton’s said the sale of the Cadbury licence will enable it to implement a “transformational growth plan across its core brands” - which include Jammie Dodgers, Wagon Wheels and savory snacks Fish’n’Chips –and to grow its contract manufacturing business.

The company added it would continue to invest in innovation to grow, and to support its ambition to be the “number one” manufacturer of premium branded and private label biscuits and snacks.

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