FDBusiness.com

Aryzta Makes Strategic Acquisitions Worth $1.08b

 Breaking News
  • Another Year of Progress For Nestlé Nestlé has reported a 2.1% increase in sales to SFr91.4 billion (€80.6 billion) for 2018 with organic growth of 3% and group RIG of 2.5%, which was at the high end of the food and beverage industry, helped by faster innovation and successful new product launches. 2018 organic growth was supported by stronger momentum in [...]...
  • Fast-growing Asia Maternal Nutrition Market to Boost Demand For Dairy ingredients and Formula Maternal nutrition is a hot new opportunity in emerging markets, according to the latest report from food and drink experts, Zenith Global. In many parts of Asia, the concept of optimal nutrition during the first 1,000 days of a baby’s life (from conception to two years old) is capturing the attention of mothers and their [...]...
  • Innovation in the Spotlight at UK’s Largest Packaging Show Packaging Innovations, Empack and Label&Print 2019 returns to Birmingham’s NEC later this month with its most innovative show to date. The show, which also includes Contract Pack, Ecopack and Industrial Pack, will showcase more product launches and innovation from across the industry than ever before as it welcomes over 300 suppliers. As always, Innovation is the [...]...
  • £100 Million Müller Programme to Transform UK Fresh Milk Business Müller Milk & Ingredients, Britain’s largest producer of branded and private label fresh and flavoured milk, cream, butter and ingredients, has launched a £100 milliion cost and margin improvement programme which aims to secure a vibrant and sustainable future for the business, to the benefit of consumers, customers, employees and farmers. Project Darwin includes a comprehensive [...]...
  • Coca-Cola European Partners Continues to Focus on Driving Profitable Revenue Growth Coca-Cola European Partners has reported its fifth consecutive quarter of revenue growth and announced plans to trade on the London Stock Exchange. Revenue grew by 4.0% to €11.5 billion and comparable operating profit grew by 7.0% to €1.6 billion in 2018. Earnings per share were €2.30, an increase of 8.5%. Coca-Cola Zero Sugar led growth in [...]...

Aryzta Makes Strategic Acquisitions Worth $1.08b

Aryzta Makes Strategic Acquisitions Worth $1.08b
June 14
09:58 2010

Switzerland-based speciality bakery group Aryzta has made two strategic acquisitions to significantly strengthen its position in Europe, North America and in other international markets. Aryzta has acquired Fresh Start Bakeries (incorporating Pennant Food and Sweet Life) and Great Kitchens for $900m and $180m respectively.

Operating 29 specialist production facilities across the US, Canada, Germany, Poland, Sweden, Spain, Brazil, Australia and New Zealand along with joint ventures located in North America, Chile and Guatemala, .Fresh Start Bakeries is a global supplier of speciality bakery products with a leading position in the Quick Service Restaurant (QSR) segment. Pennant Foods is a leading provider of speciality bakery products and solutions to the North American QSR, food service and retail in-store-bakery channels. Sweet Life is a leading innovator and manufacturer of sweet baked goods servicing the North American and Asian QSR channel.

Great Kitchens is a leading supplier of pizza and appetisers with a focus on the deli segment of the North American retail grocery channel. The combined revenue of the businesses being acquired is $1.03b, with associated EBITDA of $133m.

The acquisitions double Aryzta’s manufactured volumes and permit greater access to a broader customer base within the expanding QSR and retail segments. Moreover, they also provide Aryzta with a more balanced exposure to its core markets of North America and Europe, while extending its geographical footprint in rapidly expanding developing markets. Indeed, Aryzta is renaming its ‘food developing markets’ segment as ‘rest of the world’. This reporting segment will include territories across South America, Asia, Australia and New Zealand.

Meanwhile, greater diversification in terms of customer mix enhances the defensive characteristics of the Aryzta’s business model. “From a business perspective we will operate with a greater geographic footprint and with much better channel access to consumers. These acquisitions double our manufactured volumes with an additional 30 production locations in nine countries,” says Owen Killian, chief executive of Aryzta.

Following the transactions it is anticipated that Aryzta’s net debt/EBITDA ratio will be in the region of 3 times for the year ending 31st July 2010.

Created in 2008 by the merger of Dublin-based IAWS Group and Hiestand Holding of Switzerland, Aryzta has a primary listing on the SIX Swiss Stock Exchange and a secondary listing on the Irish Stock Exchange.In Europe Aryzta has a mixture of business to business and consumer brands, including Hiestand, Cuisine de France, Delice de France and Coup de Pates.

CAPTION:

Owen Killian, chief executive of Aryzta.

About Author

mike

mike

Related Articles



Food & Drink Business Conference & Exhibition 2016

Upcoming Events

  • June 18, 2019Multimodal 2019
AEC v1.0.4

find food jobs

The Magazine

F&D Business Preferred Suppliers

New Subscriber

Subscribe Here



Advertisements