19 Jun

Is Sugar the New Tobacco? – Bloomberg

Is Sugar the New Tobacco? A sale of the Butterfinger and Baby Ruth franchise will decide.By Corinne Gretler June 19, 2017, 7:04 AM EDT DATA: BLOOMBERG RESEARCH; GRAPHIC BY BLOOMBERG BUSINESSWEEK * KEPLER SAYS WORTH AT LEAST 2 BILLION SWISS FRANCSWhat’s a candy franchise worth in an era when sugar has turned into a public enemy? We’re about to find out. Swiss food giant Nestle has put up for sale its U.S. business that makes the Butterfinger and Baby Ruth bars. Bankers say the unit is worth anywhere from 1 billion Swiss francs ($1 billion) to 3 billion francs. That wide range reflects division over this central question: some analysts see sugar as the tobacco of the 21st century, while optimists point to the unit’s well-known brands. Chief Executive Mark Schneider, whose background is in health care, is letting go of the the business in his first big shakeup of the company as it wrestles with the slow growth of packaged foods. Kraft Heinz’s unsuccessful bid for Unilever earlier this year showed that anyone could become a target.

Source: Is Sugar the New Tobacco? – Bloomberg

About the Author

Chris Broussard
I'm the Co-Founder and President of Tematica Research and editor of Thematic Signals, which aims to uncover confirming data points and items to watch for our list of investing themes. Whether its a news item, video clip, or company commentary, we've included this full list of items literally "ripped from the headlines." I have been involved in financial services marketing and publishing for over 20 years – having held senior level positions with financial publishers, financial services corporations and providing marketing support and consulting services to financial institutions and independent financial advisors. My background in digital marketing, financial services and consumer research provides me with a unique perspective on how to uncover the underlying proof points that are driving the themes our Chief Investment Officer Chris Versace utilizes in our various Tematica publications.

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