Orkla acquires Rieber

Orkla keeps focusing on Orkla Brands, and Norwegian media could today reveal that Orkla is purchasing Rieber. This is definitely a step in the right direction for Orkla, and in-line with their new strategy of being focused solely on brands and brand management. So why is Rieber an interesting acquisition? Rieber have strong Norwegian brands such as Toro, Denja, Mr.Lee and Vossafår. This is bound to give Orkla a stronger foothold within the Norwegian grocery sector. Rieber also possess strong brand names in Eastern Europe, so the acquisition could imply a geographical extension of Orkla's business as well. It will be fascinating to see if the brands are affected by the acquisition. As Orkla access resources far beyond what Rieber did we could maybe expect to see an even stronger market presence from the acquired brands. It will be interesting to see if there are any extension plans in place for the different brands, and if Orkla could turn the decreasing market share and sales of Toro.

Åge Korsvold - CEO Orkla