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Hershey Foods to Sell Stake in AB Marabou

May 16, 1990|United Press International

HERSHEY, Pa. — Hershey Foods Corp. announced that it has entered into an agreement to sell its shares of AB Marabou, a Swedish confectionery and snack food company, to Orkla Borregaard AS of Oslo.

The cash transaction cost more than $75 million, Hershey said.

The sale will be completed as soon as the approval of the Swedish and Norwegian governments is received and is expected to result in a one-time after-tax gain in excess of $35 million.

Orkla Borregaard is a publicly owned company with a wide range of operations, including manufacture of consumer packaged goods, wood processing, chemicals, hydroelectric power and communications.

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