Assurances given on jobs By Melissa Meehan

PAKENHAM institution Nestle will be no longer from November as American company Simplot takes over.
The takeover was announced on Tuesday with Simplot Australia promising that no jobs would be lost as a result.
Operating as the Gippsland Food Company, the Pakenham factory will continue to produce frozen meals brands Lean Cuisine and Maggi along with the Papa Giuseppe frozen pizza brand through a combined licence and acquisition arrangement with Nestle Australia.
Under the licensing agreement for Lean Cuisine and Maggi frozen foods Simplot Australia will acquire the right to manufacture, market and sell the products throughout Australia and New Zealand.
Simplot Australia managing director Terry O’Brien said the takeover was a significant step towards moving forward achieving the company’s growth strategy.
“Our strategy is based around building leading brands through superior product offering, innovation and exceptional service,” he said. “Another key growth platform has been acquiring assets and brands that are a sound strategic fit and benefit from the company’s capabilities and capacity.”
He said already being a leading player in the frozen vegetable, potato and seafood sector will allow Simplot to deliver better services to consumers.
“The licence agreement and relationship with Nestle is extremely exciting for us,” he said. “Moving into ready meals is a logical extension of our offer and we are delighted to add these products to our portfolio.”
Nestle Australia managing director Graham Campbell said the agreement made business sense to both parties, enabling each company to focus on their strengths.
“This represents a great opportunity to grow the Lean Cuisine brand,” Mr Campbell said. “We are confident that Papa Giuseppe and the balance of Pakenham’s portfolio will contribute strongly to the success of the Gippsland Food Company.”
Mr Campbell said he was especially pleased that employees at Pakenham would have jobs with the Gippsland Food Company.
“It’s a win for both companies, our employees at Pakenham and the local Pakenham community,” he said.
Simplot Australia is a Melbourne based company. Brands in its portfolio include John West, Birds Eye, Edgell and Leggos.