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20 Apr 2015 07:00
Edita Food Industries expands the scope of its rights under the 2013 agreements for HoHo's, Twinkies & Tiger Tail (HTT) Brands to include 12 additional MENA countries, and acquires technical assistance & knowhow to manufacture 11 new Hostess Brands products
Cairo, 19 April 2015
The Board of Directors in its meeting dated April 14, 2015, resolved to expand the scope of its existing rights under the 2013 Agreements with Hostess Brands LLC for the above brands, and Eng. Hani Berzi, Chairman & Managing Director accordingly signed two new contracts on April 16, 2015with Hostess Brands LLC as follows:
1. First Contract: the Trademark and Goodwill Sale and License Agreement that expands the scope of the rights, title and interest granted to Edita Food Industries to the trademarks (Hohos, Twinkies, and Tiger Tail), to Algeria, Bahrain, , Iraq, Kuwait, Lebanon, Morocco, Oman, Qatar, Kingdom of Saudi Arabia, Syria, Tunisia, and the United Arab Emirates
2. Second Contract: the License and Technical Assistance Agreement that relates to acquiring the license, knowhow and technical assistance for products other than Hohos, Twinkies and Tiger Tails for the expanded territory including Egypt, Libya, Palestine, Jordan, Algeria, Bahrain, Iraq, Lebanon, Kuwait, Morocco, Oman, Qatar, Kingdom of Saudi Arabia, Syria, Tunisia, and the United Arab Emirates
3. Both contracts have a total value of USD 12 million
The 2 contracts are to be financed through an EGP 90 million 7 year medium term loan granted from National Bank of Kuwait.
-Ends-
About Edita Food Industries S.A.E.
Edita, founded in 1996 and headquartered in Egypt, is a leader in the growing Egyptian packaged snack food market. The Company manufactures, markets and distributes a range of branded baked snack products including packaged cakes, croissants, rusks (baked wheat), and wafers as well as selected confectionary/candy products. The Company's local brand portfolio includes household names such as Todo, Molto, Bake Rolz, Bake Stix, Freska and MiMix. The Company also has the exclusive ownership of the international HTT brands Twinkies, Hoho's and Tiger Tail in Egypt, Libya, Jordan, Palestine, Morocco, Algeria, Tunisia, Syria, Lebanon, Iraq, Bahrain, Oman, the UAE, Kuwait, Qatar and Saudi Arabia; and is party to a technical assistance and know-how agreement to manufacture 11 additional HTT brands across its territories. The Company holds strong number-one market positions in its core cake and croissant segments, a number-two market position in rusks, and growing market positions in the wafers and candy segments. In 2014, the Company derived c.94% of its revenue from Egypt and c.6% from over 14 regional export markets. Learn more at ir.edita.com.eg.
Contact
Ms. Dina Al-SonbatyVice-President (Investor Relations and Corporate Affairs)T: +202 3851 6464 | M: +2012 2 218 7052 | dina.sonbaty@edita.com.eg
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