German food manufacturer Oetker Group has successfully acquired local baking mixes and flour producer Kathi.
The financial terms of the acquisition remain undisclosed.
Founded in 1951, family-owned Kathi operates a production facility in Halle, located in Saxony-Anhalt, and employs 90 people.
In explaining the rationale behind this acquisition, Oetker said that Kathi possesses a strong presence in eastern Germany, which will facilitate further regional expansion.
Kathi offers over 50 baking products, with a diverse range that includes mixes for sponge cakes, fruit cakes, and muffins, alongside ready-to-bake pizza dough. Additionally, Kathi produces a line of ready-to-eat pastries and frozen cakes.
Post-acquisition, Kathi will continue to operate under the same leadership, with Managing Director Marco Thiele steering the company.
“In light of the ongoing difficult economic conditions and a challenging market environment, we are very pleased to have found a strong partner with whom we can set up our family business in a future-proof and innovative way. We look forward to working together under the umbrella of the Oetker Group,” Thiele stated.
“Kathi’s business will not change; we will maintain our commitment to being a reliable, high-performing, and innovative partner for our customers and consumers.”
Carl Oetker, a member of the Oetker Group management team, remarked: “It will be a pleasure for us to welcome Kathi as a member of our group. As a family-run company, Kathi aligns perfectly with the values, goals, and strategy of the family-owned Oetker Group.”
Recently, the Oetker Group has undergone a management reshuffle, leading to new heads appointed for both the food and beverages divisions.
This restructuring follows Dr. Albert Christmann’s departure as the “general partner” of Dr. August Oetker KG and his exit from the group management team of the Oetker Group in May.
Carl Oetker, the great-great-grandson of founder Dr. August Oetker, now assumes the role of executive board chair.
Dr. August Oetker KG serves as the holding company for the Oetker Group, which encompasses three business divisions: food; beer and non-alcoholic beverages; as well as hotels and other interests.
Within the food division, Dr. August Oetker Nahrungsmittel features the well-known frozen pizza brand and a variety of home baking products, including the Chicago Town pizza brand.
This division also includes the Coppenrath & Wiese confectionery unit, which specializes in producing frozen cakes and pies, primarily targeting the German market.