TPG eyes sale of 25 percent stake in Strauss Coffee
TEL AVIV, July 4
TEL AVIV, July 4 (Reuters) - Food maker Strauss Group and private equity firm TPG Capital are examining options for the sale of TPG's 25 percent stake in Strauss Coffee, the Israeli company said on Thursday.
Strauss noted that TPG has held the stake for five years and said this was a "natural process" for private equity firms. TPG paid $293 million for the stake in 2008.
"At this stage no decision has been reached regarding exit alternatives for TPG, and Strauss Group together with TPG are examining a number of options," Strauss said in a statement.
Strauss, a maker of snacks, fresh foods and coffee, is a market leader in roast and ground coffee in central and eastern Europe.
Its global coffee sales fell 5.6 percent in the first quarter to 989 million shekels ($272 million) though operating profit in the segment jumped by nearly 45 percent. Coffee sales were hurt by a decline in exports of green coffee from its Tres Coracoes joint venture in Brazil.