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Hero Group sells Götene assets, land to Arla
Lenzburg / Götene, May 27, 2024: The Hero Group, on a mission to delight consumers by conserving the goodness of nature, today announces the sale of parts of its factory assets and land in Götene, Sweden, to global dairy company Arla.
The sale of the assets and land comes after the company decided to stop production at its Swedish site. This decision was taken because of changing market conditions with lower consumption of baby milk, a decreased demand from China, and a lower birth rate that has led to a decreasing demand for baby and toddler milk products, and a focus on fewer core categories.
Andrea Takacs, SVP Supply Chain Excellence Hero Group, said the sale of assets and land to Arla made sense as the dairy company operates its own production facility right next to the Hero plant. The two companies have a business partnership extending many decades.
“This has been a difficult decision for us to move our production out from Götene. However painful it is, we know this is required to remain competitive in the categories we operate in,” said Takacs.
Ownership of the site is expected to transfer to Arla in early Q4 this year. This means that the Hero Group will continue to operate on site until it can complete the transfer of production expected at the end of January 2025.
In the meantime, the production for Semper Välling and Gröt will continue with the same recipes, taste and quality at other Hero production facilities and co-producers. Similarly, BabySemp products will still be made with milk fat globule membrane (MFGM) as before.
Semper remains in the Nordics with a strong complement of staff in Stockholm, Oslo, Copenhagen, and Helsinki.
For more information, contact:
Semper Nordic
Anne Lindfeldt, Corporate Communications Manager
070 2761035
Hero Group
Stephen Chetcuti, Corporate Communications Director
Aiheet
About Hero Group
The Hero Group is an international food company focused on branded nutritional food products. The company was founded in 1886 in Lenzburg, Switzerland, where its headquarters are still located today. Hero's main product categories of Baby & Toddler Food and Snacks, Natural Spreads, and Healthy Snacks are complemented by its activities in Baby & Toddler Milk and Specialties. The Group, which lives by its mission to delight consumers by conserving the goodness of nature, boasts a global footprint and its portfolio consists of many well-known international and local brands. In 2023, the Group generated revenues of CHF 1.2 billion.
