British group Cadbury Schweppes, which took over local confectioner Kandia-Excelent, recorded 26 million pounds sterling (38 million euros) in intangible assets for the brands acquired through the transaction on the Romanian market, according to the group's financial report for 2007.

The local company's portfolio includes 17 brands, with the best-known currently being Kandia, Magura, Laura, as well as Sugus and Silvana, taken over in 2006 from rival Kraft Foods Romania.

The locally strong brands and the high-performing management team were the main reasons for choosing Kandia-Excelent, according to Cadbury representatives, this being the only company on the Romanian market to be targeted for acquisition. The takeover of Kandia-Excelent has allowed Cadbury Schweppes to go up to the second position on the chocolate market, after Kraft Foods, with a 24% market share. On the candy segment (not including pralines), the local company had a 32% market share at the time of the takeover, being the second-largest player, after Wrigley.

Nine months after completion of the deal, the portfolio of Kandia-Excelent has remained largely unchanged, with the new launches being solely aimed at adding new varieties to the already existing products.

How has Kandia-Excelent come to have a 38 million-euro portfolio? Acquisitions conducted over the last 4-5 years have had a major contribution in that respect. The most valuable chocolate brand could be Kandia, which completely changed the company's portfolio in 2003, when Excelent acquired the Kandia manufacturer in Timisoara. One year later, Kandia-Excelent was created, following the merger of two companies, Excelent SA and Kandia Timisoara.

Another transaction, completed last year, brought Kandia-Excelent to the second position on the candy market, thus leaving behind Perfetti Van Mele (Mentos, Alpenliebe, Frui