American confectionary giant Mars has unveiled plans to combine merge chocolate and wrigley segments to form a new company aimed at unifying its chocolate and candy business.
Named as Mars Wrigley Confectionery, the new company will help in providing better service to customers, addressing consumer trends besides accelerating growth opportunities globally.
The new firm, which is proposed to take shape from next year, will have its global headquarters in Chicago. Until then, Mars Chocolate and Wrigley will continue to operate as separate units.
Wrigley global president Martin Radvan will take over the leadership of the new Mars Wrigley Confectionery segment.
Ravdan said: “Mars Wrigley Confectionery brings together two great businesses, strengthening our ability to create win-win relationships with our customers, and improving our opportunities to address dynamic retail and consumer trends together.”
Mars Wrigley Confectionery portfolio will include Snickers, Dove, M&M’s and Galaxy chocolate brands, Orbit, Doublemint and Altoids gum and mint brands alongside Skittles and Starbust fruity confections.
Mars has also decided to continue Jean-Christophe Flatin as president of Mars Global Chocolate. It has also stated that former regional president of Wrigley Americas Casey Keller will become president of Global Wrigley.
The confectioner had acquired chewing gum manufacturer Wrigley in 2008 for $23bn in 2008. Berkshire Hathaway, which financed the deal for Mars, bought a minority 10% stake then at $2.1bn in Wrigley.
Mars has announced that it will buy the remainder stake from Berkshire Hathaway to wholly own Wrigley in line with its plan to merge it with Mars Chocolate.
Mars CEO and Office of the President Grant F. Reid said: “We’re equally pleased that sole ownership of Wrigley provides us with an opportunity to rethink how we simplify our Chocolate and Wrigley businesses so that we can bring a more holistic approach to this vibrant category.”
