05 Jun 2025 Tiger Brands looks to exit the chocolate business
Iconic SA chocolate faces an uncertain future….
Beacon chocolates have long been a household favourite, but now, change is on the horizon with Tiger Brands announcing plans to divest the business.
The popular brand, established nearly a century ago, includes favourites such as the TV Bar, Nosh, chocolate-and-marshmallow Easter eggs, and a range of chocolate slabs — including popular flavours like Ebony and Ivory.
The company confirmed that while no final decision has been made yet, it is actively exploring options to sell the chocolate category.
“We will continue delivering on the strategic turnaround of the business until such time as an appropriate exit mechanism has been identified,” CFO Thushen Govender told News24.
Tiger Brands CEO Tjaart Kruger acknowledged the challenges facing the chocolate division in an interview with News24.
He admitted that the group had “probably fallen behind in technology,” explaining that they had not upgraded their chocolate-making equipment in 30 years.
According to him, the investment required to modernise the facility is now too high to justify. However, he believes the Beacon brand still holds potential and In the hands of the right people, the Beacon chocolate brand can be a good business.
Kruger also noted the difficulty in competing with more dominant chocolate brands, saying, “We price against Cadbury like R4 or R5 a slab cheaper and still don’t get the volumes.”
Despite the uncertain future of Beacon chocolates, Tiger Brands has reassured consumers that other favourites in its sweets portfolio — including Jelly Tots, Maynards Wine Gums, Fizzer, Marshmallows, and Liquorice All Sorts as well as the Jungle Oats Bar, are unaffected by the changes.
While no timelines have been confirmed, Tiger Brands has indicated it will continue producing Beacon chocolates until a suitable buyer or alternative strategy is in place. Any sale of the business would include the Beacon factory in Mobeni, Durban.
Source: IOL, News24