Snacks giant Mondelez will soon add Cadbury brand biscuits to its stable of cookies.
The maker of Oreo and Chips Ahoy last week announced an agreement to purchase the license for Cadbury biscuits from Burton's Biscuit Company for an undisclosed price.
Reports last month valued the transaction at about $260 million. Burton's has made Cadbury biscuits for 30 years under a licensing agreement with the iconic British chocolate maker.
Cadbury's chocolate business was acquired by Kraft Foods in 2010 and became part of Mondelez when the food giant's snacks and confectionary operations were spun off two years later. Mondelez reportedly discussed the Cadbury license with Burton’s as early as 2014.
"The transaction will help us to unify and expand our global Cadbury biscuits portfolio in key markets and enable us to explore delicious new products by using the best of our chocolate and biscuit innovation platforms," Hubert Weber, Mondelez's European president, said in a statement.
The companies also announced a manufacturing agreement to enable the cookies to continue to be produced in Burton's factories. The brand will be sold in North America, the U.K., France, Ireland, Saudi Arabia and other markets.