December 16 (SeeNews) - Croatia's Atlantic Grupa [ZSE:ATGR-R-A] said on Monday it has signed a deal with local detergent manufacturer Saponia and confectionery producer Kandit for distribution of their products on the Serbian and Slovenian markets as of next year.
The contract will result in an expected annual turnover of more than 100 million kuna ($15 million/13 million euro), Atlantic said in a statement, adding that the deal will support the growth of the three companies in 2020.
"Serbia and Slovenia represent two extremely important markets for us, and when it comes to the organization of our distribution, they are also labelled as strategic," Atlantic Grupa vice president for distribution, Srecko Nakic, said in the statement.
"By introducing Kandit’s Rum Bar and Saponia’s Faks and Ornel as well as other strong regional leaders into the Atlantic’s distribution portfolio, we further strengthen our offer on these markets," he added.
Saponia and Kandit have long market traditions of 125 and 100 years, respectively, and now expect to additionally boost their market shares and turnover in Serbia and Slovenia backed by the new distributor, Atlantic said.
Atlantic Grupa is a regional distributor of fast-moving consumer goods and a producer of functional foods and supplements. It also owns a pharmacy chain in Croatia.
In October, it agreed to sell its food supplements unit Fidifarm, owner of the Dietpharm brand, to local generic drug manufacturer PharmaS.
The group's shares traded flat at 1,310 kuna by 1010 CET on the Zagreb Stock Exchange on Monday. They are part of the bourse's blue-chip index CROBEX.
(1 euro = 7.44058 kuna)