What Minerva bought, acquiring Mediterannean Foods

Of George Lampiris

An important “yes but …” is contained in the financial performance of Mediterannean Foods, a company known for its Brava products, which Minerva recently acquired by 2/3 along with the remaining 1/3 which ended up in the hands of individual shareholders of Minerva, Deca Investments, EOS Capital Partners and Εlikonos 2 SCA Sicar.

This is reflected in the fact that despite the fact that the supermarket market has moved strongly upwards due to the increased demand caused by the pandemic with a percentage that reached 10% – namely 9.7% according to Nielsen – during 2020, the opposite The company’s products have stagnated due to the fact that goods such as ketchup, mustard or balsamic vinegar are not essential goods.

Particularly characteristic is the fact that while Brava mustards had a turnover of 1.03 million euros in 2019, in 2020 their turnover shrank to 903 thousand euros, ketchup from 296 thousand euros, fell to sales at the level of 247 thousand. euros, while the sauces – mayonnaise from 1.74 million euros showed a reduced turnover to 1.35 million euros.

The above events also resulted in the overall reduction of the turnover of Mediterannean Foods, which from 3.08 million euros in 2019, in 2020 was 2.5 million euros.

Also, in terms of net results after taxes, the company while in 2019 it was profitable with 86.6 thousand euros, in 2020 it returned to losses of 1.7 million euros.

In fact, the reduction of the company’s turnover during 2020 is attributed in particular to factors such as:

– The loss of turnover by the customers of the Cash & Carry chains due to the suspensions in the mass catering sector

– The loss of turnover from the network of special partners of the company due to the reduced tourist traffic

– The loss of turnover from the network of wholesale catering wholesalers due to the suspensions of their customers.

The legal dispute with Melissa and Horizons

It should be noted that before its acquisition by Minerva, Mediterannean Foods had a dispute with Melissa Kikizas, who was in fact its shareholder, with the latter owing the first amount of 1.6 million euros.

Eventually the two sides came to a court settlement and the company proceeded to an impairment of 1.48 million euros against a uncollected receivable from Melissa Kikizas.

At the same time, however, there was a legal dispute with Horizontes SA, with Mediterannean Foods finally being obliged to pay it an amount of 180 thousand euros.

It is pointed out that the company has a factory for the production of products that is located in the community of Pragmatefti (Municipality of N. Kynouria) in the prefecture of Arcadia, with a total area of ​​over 5,000 sq.m.

It produces its four main product categories (mustard, ketchup, mayonnaise, sauces), in supermarket packaging as well as larger catering packaging.

The company also has a storage center with a total area of ​​3,100 sq.m. in the industrial area of ​​Koropi.