Zurich, Switzerland-based Barry Callebaut and Valencia, Spain-based Natra have signed a memorandum of understanding regarding the transfer of Barry Callebaut’s consumer chocolate division, Stollwerck, to Natra. This transaction would make Natra a significant private label and third-party chocolate maker in Europe with estimated annual sales of approximately €850 million ($1.1 billion), according to pro forma combined figures for 2008, a share of 2% of the entire European cocoa and chocolate market and a pro forma production output of around 215,000 tons in 2008. The transaction would make Barry Callebaut a minority shareholder of Natra and would also create a long-term outsourcing contract where Barry Callebaut would supply a minimum of 85,000 tons per year of liquid chocolate to Natra. The transaction is subject to conditions, such as secured long-term financing and board approvals. Natra and Barry Callebaut expect the transaction to be carried out in summer 2009.