In a move to divest itself of products inconsistent with their goal of "centering on convenience, wellness and quality," Campbell Soup Co. (NYSE: CPB) is prepared to put its boutique chocolate brand Godiva Chocolatier on the market. The luxury product should find an eager market, as it has been a solid performer for Campbell with sales increasing by double digits in 2006 on annual sales of approximately $500 million. The company has over 270 retail locations as well as direct sales, and its products are also available in groceries and other stores.
Godiva was founded over 75 years ago in Brussels, Belgium by the Draps family. Campbell's bought a third of the company in 1966, subsequently taking over ownership. They have deftly kept the brand separate from the Campbell's brand, shaping the Godiva image as a gourmet product and haute culture indulgence.
According to The Wall Street Journal [subscription], market analysts speculate that Godiva could bring between $750 million and $1 billion. Centerview Partners LLC has been retained as the financial advisor for the deal.
