Having divested its confectionery business, Raisio is now considering a sale of its cattle and fish feed businesses as well as looking to reduce its headcount.
Raisio continues strategic restructuring
In December 2017, Raisio divested its confectionery business and says it is now considering a sale of its cattle and fish feed businesses as one strategic alternative. Raisio has initiated negotiations on the divestment of its feed businesses with several operators. The grain trade business is not for sale. During the negotiations, Raisioagro continues business as usual.
Raisio will publish a stock exchange release if the divestment is carried out. Raisio will do so also in case the negotiations come to an end without results and the development of the feed businesses will be continued as part of the Group.
The company also announced that, to ensure its competitiveness and profitability, Raisio has started cooperation negotiations concerning 115 employees.
Initial estimate of the reduction need is 30 persons. The cooperation negotiations concern the Group services as well as marketing, product development and service functions of the new Healthy Food Division. Raisioagro, the new Healthy Food Division’s mills and Finnish sales as well as the production of plant stanol ester, the Benecol product ingredient, are not within the negotiations.
The negotiations concern possible terminations, combinations and restructuring of functions and duties. The aim is to complete the negotiations during March 2018. At the end of 2017, Raisio’s Finnish operations employed a total of 325 people.
Raisio also announced that, until now, Benecol and Healthy Food businesses have operated as separate organisations and they will now be combined into a single Healthy Food Division. During spring 2018, the company will also initiate measures to simplify the Group’s legal corporate structure.
Pekka Kuusniemi, Raisio Group’s President and CEO said: “To ensure Raisio’s organic growth, we are going to move from a holding-type structure to a model in which all resources are targeted toward supporting the strategic objectives of the Healthy Food Division. Raisio also seeks growth through acquisitions that suit our core business.”
In addition to his CEO role, Pekka Kuusniemi will serve as CCO of the Healthy Food Division until a new director is appointed. The new Healthy Food Division is divided into three geographic regions: Northern and Eastern Europe, Western Europe and the rest of the world. The new organisational structure will be put into effect as of 1 February 2018.
Vincent Poujardieu, the Vice President of Benecol business and member of the Group Management Team, left Raisio on 31 January 2018.
President and CEO Pekka Kuusniemi, CFO Antti Elevuori, Vice President of HR Merja Lumme, Vice President of Legal Affairs Sari Koivulehto-Mäkitalo, Vice President of Operations Jukka Heinänen and Vice President of Raisioagro Perttu Eerola will continue as Group Management Team members.