www.rollits.com www.rollits.com Page 5 Page 6 www.rollits.com January 2011 Month by month guide to mergers and acquisitions continued… Rollits’ food deals News bites Rollits’ lunches Food Group Newsletter It was announced that German yogurt IK Investment Partners bought a majority Spain’s Ebro Foods bought the rice division Since the Ainsley’s of Leeds deal prove great success company Müller had built up a stake of just stake in France’s largest own-label salty of SOS for EUR195m. completed with both Cooplands over 3% in UK-listed Dairy Crest, whilst snacks maker, Snacks International, from (Doncaster) and Cooplands (Scarborough) Rollits has been delighted to use Unilever put up for sale it sauce brands the Caillavet family in a deal said to be Orkla Brands put its Norwegian fresh bakery early in the year, Rollits has been involved its dining facilities in Hull to host Ragu and Chicken Tonight . worth EUR115m. business, Bakers, up for sale. in the following food transactions in special events for invited guests recent months: Hoping for a happier 2011 Norwegian company Norpol, with interests Tough times for independent greengrocers November was brought to a rousing and two of the business lunches January 2011 in Poland, acquired Maryport fish were reinforced by Bristol-based Stokes, conclusion with KKR leading a $5bn January 2011 • Rollits’ Managing Partner, Richard Field, in 2010 featured speakers with Best wishes for the New Year to all the clients, friends and contacts of Rollits’ Food Group. processor Brookside Products. with 17 stores, calling in an administrator. agreed acquisition of food and pet advised Hedon Salads, a UK glasshouse strong food connections. After a truly tumultuous last year, we look forward to 2011 with renewed optimism and products business Del Monte Foods in grower and supplier of fresh produce, the thought that things generally can only get better! Cooplands (Doncaster) added to its Nevertheless there is still an appetite to one of the biggest leveraged buy-out on its merger with English Village Salads On 2 July Peter De Braal, a Vice acquisition of Ainsleys of Leeds earlier this invest with Marine Harvest spending £12m deals in the US this year. (EVS), part of the Bakkavör Group. The President of Cargill, the US’s largest In the latest edition of the Rollits Food Group Newsletter we cover all the major food year by acquiring retail bakery shops from to expand its Lochailort salmon farm and private corporation, spoke to a number Food Group Newsletter Food Group Food Group Newsletter Food Group new shareholding structure comprises and drink deals in the UK, together with some of the highlights from around the world, Sparks Confectioners in Bradford Tomlinson’s Dairies building the biggest Malvern-based Westbridge Foods bought Bakkavör, Hedon Salads and Growco, a of Yorkshire and Humber family since March of last year. We have also covered the food deals Rollits were involved in Kent importer BRI-TAL. (see Rollits’ food deals). dairy processing plant in Wales at Wrexham. producer organisation based in businesses about the company, its during 2010. Because of the number of transactions in our month by month guide we Yorkshire. The new enlarged EVS will values and its ethos. have reduced our other news coverage, but we have briefly flagged up some interesting Scotland’s Produce Investments, better October 2010 manage the combined packing and developments in our ‘News bites’ section. known for potato supplier Greenvale, On 8 October Lord Christopher Haskins, Coca-Cola closed the acquisition of the marketing business and, as part of the announced a flotation on AIM to raise £15m. former Chairman of Northern Foods plc, Coca-Cola Enterprises (CCE) North new joint venture, Hedon Salads will The latest grocery figures from Kantar addressed senior executives in the food America business for $12.3bn, whilst continue to operate as a large scale Worldpanel for the 12 weeks to 28 industry about ‘Risks and opportunities in selling the company’s Norway and Sweden November 2010 grower of a range of salad products. November 2010 showed grocery price 2010 – The year the big guns really went global bottling operations to CCE for $822m. Lion Capital bought Bumble Bee Foods, inflation falling to 2.8%, with Tesco’s the food chain – 2010 and beyond’. North America’s leading supplier of The worldwide economic crisis of the previous couple of years had caused a drying-up of M&A activity • Steve Trynka, Rollits’ Senior Partner, market share up slightly year-on-year at It was reported that Iceland CEO and shelf-stable seafood, from Centre Another event which proved a great advised Cranswick plc on establishing 30.7%, Asda flat at 17.0%, Sainsbury’s up across the globe, but 2010 saw a major resurgence of interest in growth through acquisition. The founder Malcolm Walker had tabled a Partners Management. success in 2010 was the Food & Drink a joint venture with supermarket strongly to 16.4% but Morrisons down a overwhelming conclusion from our review of deals in the year is that the big multinationals dominated MBO offer to take control of the frozen Sector lunch which Rollits co-hosted with group Morrisons for the production touch at 12.0%. Biggest growth came at food retailer at a value of £1bn, but the Fane Valley Co-operative Society Barclays Corporate, which attracted a the M&A scene, with Lactalis, Danone, Marfrig, Hain Celestial, Ralcorp, Kerry, Emmi and General Mills of cooked meats. Waitrose, up 9.4% on the previous year Icelandic owners had rejected the offer. announced the sale of its liquid milk full house of food companies to Barclays’ among the international companies involved in multiple deals around the world. Although engaged in to 4.1%. operation to Dale Farm, resulting in the • Nasim Sharf, one of Rollits’ corporate Humber Quays offices in Hull on 14 May. some food deals, it was surprising that Nestlé and Unilever appeared to be less active. Also reported was the possible sale of closure of its Newry site. partners, advised Cooplands of Tangerine Confectionery with sales over • Rollits follows EU protected Doncaster on the acquisition of retail There is no doubt that the major food Del Monte Foods and Wimm-Bill-Dann £150m by Growth Capital Partners. Premier Foods disclosed that it was in talks designations of origin and protected bakery shops from Sparks Confectioners players want to become bigger and Foods to name just some of the more with Mitsubishi-owned Princes over the sale December 2010 geographical indications closely. It in Bradford. Cooplands’ Executive Information geographically broader, but at the eye-catching deals. Gimv concluded a co-investment in of Premier’s canning sites at Wisbech and Privet Capital acquired Polestar Foods, was interesting to see Yorkshire Chairman Chris Peck commented: “The same time more focused in their Belgian Eden Chocolates, with the Long Sutton. securing the future of the former Heinz Forced Rhubarb enter the register of If you have any queries on any articles in this newsletter please contact: product sectors. In the UK the M&A picture has been chocolatier receiving EUR7m to fund frozen desserts factory at Okehampton, but stores are in high footfall locations and PDOs in March 2010 and become the Julian Wild on +44 (0) 1482 337304 or more subdued with speculation far expansion in China. 51-strong Spar convenience store not preventing its sister site at Leamington the heritage and family culture of Sparks 41st protected British food. The email [email protected] There has also been an emergence of exceeding the number of completed chain Botterills was sold to Scotmid Spa falling into administration. fits seamlessly with our own business, Cornish Pasty is currently waiting for This newsletter is for the use of clients Leading UK cash & carry wholesaler Co-operative. which has been in retail baking for new buyers, particularly from the Far deals, but the proposed merger of final approval of PGI status. and will be supplied to others on request. East, with companies such as Bright Greencore and Northern Foods to Booker announced the purchases of fine PepsiCo announced its plans to buy Russia’s almost 80 years”. It is for general guidance only. It provides food supplier Ritter-Courivaud for £14.5m Grupo Bimbo acquired the North leading dairy business Wimm-Bill-Dann useful information in a concise form. Food Group, Bangkok Ranch and Thai create a leading force in chilled • Dutch food company Unilever has and on-trade wholesaler Classic Drinks American bakery business of Sara Lee for Foods in a deal worth $5.4bn and became • Rollits’ Corporate Finance Partner, Julian Action should not be taken without Union Frozen Products seen actively in convenience foods was particularly declared that Slim.Fast, the brand name for £4m. $959m, whilst Sara Lee agreed to buy the controlling shareholder in Californian Wild, advised Northern Foods plc on its obtaining specific advice. We hope you the marketplace. noteworthy. Question marks remain for its popular weight management have found this newsletter useful. If, Café Damasco, a coffee business in coconut water business ONE. successful sale of the Dalepak business over a number of other quoted food product, is not under threat of being however, you do not wish to receive French private label biscuit maker Southern Brazil. to Irish Food Processors Group, one of further mailings from us, please write to 2010 saw some very chunky transactions plcs and more activity is expected. Biscuits Poult bought Polish counterpart Premier Foods announced that talks on the Europe’s leading meat processing construed as an unauthorised health Mrs. Pat Coyle, Rollits, Wilberforce Court, with the sales of Cognis, Burger King, Lidier SKG.