Nomad buys big piece of European frozen food company
London-based Nomad Holdings has announced it will be purchasing the continental European businesses belonging to frozen food company the Findus Group, for approximately GBP 500 million (USD 781.4 million, EUR 703.5 million).
The deal does not include Findus’ operations in the United Kingdom, which include the popular Young’s Seafood brand. Nomad will only be acquiring the Findus, Lutosa and La Cocinera brands in the continental European markets. In all, Nomad’s purchases include Findus properties in Sweden, Norway, Finland, Denmark, France, Spain and Belgium. It includes the acquisition of approximately 1,500 employees.
The deal follows Nomad’s acquisition in April of Findus’ Iglo Group in Italy, and in a statement the company said the new acquisition represents a long-term strategy to extend its business across Europe.
"This transaction is in line with our growth strategy, an exciting addition to the Nomad portfolio, and a significant milestone in reaching our goal of building a global consumer foods company,” said Stéfan Descheemaeker, Nomad's CEO. “While the operations we are acquiring are strong, attractive assets on their own, combining them with our existing businesses creates a unique value proposition and unlocks new growth opportunities."
Nomad will pay GBP 400 million (USD 625.2 million, EUR 562.4 million) in cash, and fund the rest through issuing 8.4 million Nomad shares.
"This transaction represents a strategic milestone for Findus and is a positive development for the European food industry as a whole,” said Findus CEO James Hill. “The new group will be bigger, stronger, more efficient and more innovative than its component parts, offering significant benefits not only to consumers, but to all of our stakeholders.”