Spilva plus Gutta equals Orkla

The merger of Latvia's Gutta juice producer and Spilva vegetables and fruit processing company will be renamed Orkla Foods Latvija, representatives of Spilva told the BNS newswire Tuesday.

"After the legal merger of both companies, the brand names and plants of Spilva and Gutta will be retained and developed further. Therefore, in line with Orkla group's practices, a decision has been made to choose Orkla's business direction as the legal name of the merged company instead of keeping one of the previous names -- Spilva or Gutta. The new company will be named Orkla Foods Latvija," said Spilva head Lolita Bemhena.

The company said that in line with restructuring of Latvia's companies belonging to Orkla group, Spilva and Gutta will be merged and the process will be completed in January 2016.

The management and sales of both Spilva and Gutta companies have been merged as of October 1, and the six-month restructuring process will be completed in January when both plants will work as one legal entity.

The company's new legal name will be introduced in line with the structure of the international Orkla group that has four business directions -- Orkla Foods, Orkla Confectionery & Snacks, Orkla Home & Personal, and Orkla Food Ingredients.

Norway's Orkla food concern in early June announced that it will merge Gutta and Spilva in order to strengthen the positions of both companies and become one of the largest food and beverages producers in Latvia.

The Spilva and Gutta labels are among the most common sights in Latvia's supermarkets and convenience stores.  

In 2004, Orkla purchased Latvia’s leading fruit and vegetables processing company Spilva. The Norwegian food group also owns Latfood potato chips maker in Latvia, Kalev and Poltsamaa Felix in Estonia and Suslavicius-Felix in Lithuania. 

In August 2014, Orkla acquired Latvian food group NP Foods, which includes Laima, Gutta, Staburadze, Staburadzes Konditoreja and Margiris. The Latvian Competition Council approved the merger in January 2015.

Seen a mistake?

Select text and press Ctrl+Enter to send a suggested correction to the editor

Select text and press Report a mistake to send a suggested correction to the editor

Related articles
Economy
Economy