Spanish multinational olive oil bottler and processing firm Deoleo will invest €50M (USD$61.4M) to implement its growth plan and boost several of its leading brands.
Deoleo, which according to Euromonitor held a 10.4% of the total global olive oil market, said in a 6 April statement that the investments would focus on international markets with high growth potential and on establishing strategic business agreements with providers.
The company intended to strengthen its globally renowned Bertolli, Carbonell and Carapelli brands, with the Bertolli brand set to undergo a global refresh.
Deoleo also said it would launch a premium product range under the Carapelli and Hojiblanca brands in Spain, a renewed product range for Carbonell and another premium line under the Bertolli and Carapelli brands, which would include table olives.
“These investments reflect confidence in our management expertise and business plans, all of which are set to positively impact Deoleo’s results across global markets,” Deoleo chair and CEO Pierluigi Tosato said.
“The new financial capacity will allow us to increase investment in our brands in key markets and to build even closer ties with providers that, like Deoleo, are committed to quality, innovation, traceability and, above all, to creating shared value in our sector.”
Half of the total planned investment would come through an extension of Deoleo’s existing revolving credit facility, while the remaining €25M would be sourced from a capital increase through preferential subscription rights.
Deoleo’s chief commercial officer Miguel de Jaime said the increased financial capacity, with the firm’s new operational flexibility, would enable it to harness real market opportunities and drive growth by responding to customer demands.