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Strauss Group Unit Signs Accord With German Coffee Company

Strauss Group Ltd. said its coffee unit has signed a five-year agreement with Viva Coffee GmbH to operate the German coffee manufacturer, according to a statement filed today with the Tel Aviv Stock Exchange.

Strauss can extend the agreement for an additional three years and has an option to buy the company for 53 million euros, it added in the statement.

The shares rose 0.8 percent to 46.97 shekels at the 4:30 p.m. close in Tel Aviv, the highest close since Jan. 2.

Strauss also said the German company received a 28.6 million-euro loan from local banks and estimated that it will need to invest another $3.5 million in Viva’s factory.

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