Looking to extend its presence into South America, soft drink giant PepsiCo International has announced the acquisition of Brazil-based cookie maker Marlian Alimentos.
Based in Sao Paulo, Marilan Alimentos is the country’s fourth largest snack manufacturer with a product line that includes salted snacks, classic Italian cookies and toasts. According to Zacks Equity Research, the cookie maker generated revenue of more than $219 million in 2009.
The move is the latest in PepsiCo’s attempt to expand into the emerging Latin American market. Last year, the company opened a new manufacturing plant in Northeast Brazil, generating about 400 new direct and indirect jobs in the area. In November 2011, PepsiCo also purchased another Brazilian cookie maker, Grupo Mabel, for a reported $450 million.
PepsiCo reportedly spent between $320 to $426 million in the Marilan deal.
Meanwhile, a source close to the beverage maker told the New York Post the company is looking to cut as many as 4,000 jobs to boost earnings.
According to the news source, the company is also expected to make “modest” cuts at its Purchase, New York-based headquarters. The source said PepsiCo may curtail its pension matching 401(k) pension contribution, which could help it save another $75 million.