Blog: Snow falls but M&A activity heats up
Michelle Russell | 22 December 2010
Even in the run-up to Christmas, the M&A merry-go-round keeps on turning.
Following the news this week that French dairy co-op Sodiaal has finalised plans to buy cheese maker Entremont Alliance, another significant piece of M&A hit the headlines.
Dutch food ingredients group DSM announced yesterday (21 December) that it has struck a deal to buy US-based Martek Biosciences in an all-cash transaction worth US$1.09bn. The transaction, DSM said, will add a "new growth platform for healthy and natural food ingredients for infant formula and other food and beverage applications".
CEO and chairman Feike Sijbesma has insisted that the deal is a "very attractive and strategic opportunity" for the Dutch firm, and said that it now plans to expand Martek's "strong position" in infant formula worldwide.
The all-cash transaction sent DSM shares up almost 4% on the Amsterdam Stock Exchange yesterday and analysts agreed that DSM's acquisition of Martek could benefit both firms.
Petercam analyst Jan van den Bossche told just-food: "It is a logical step given that they had an exclusive supply relationship with Martek. They know each other already pretty well and extensively, so in that sense, from management and cultural integration points, it seems to be a very clean fit."
More M&A news emerged in the UK today with food tycoon Ranjit Boparan, a shareholder in Northern Foods, admitting he could launch a hostile takeover bid for the food maker. Northern, the UK food group, is planning to merge with Ireland's Greencore. Shareholders are set to vote on those plans next month.
Boparan has been amassing a stake in Northern since its plans to merge with Greencore were announced last month. He currently holds 6.6%. Will he table an offer for the business? We will more than likely have to wait until after Christmas?
A new report by the Soil Association has highlighted a lack of healthy lunch options at the cafes of some of the UK's most prestigious visitor attractions....
The BBC turned to just-food today for insight on the price dispute between Tesco and Unilever....
Just weeks after buying UK turkey processor Bernard Matthews from administration, food tycoon Ranjit Boparan has struck a similar deal....
- Nestle India grows with global, digital innovation
- Analysis: Tyson's shrewd investment in Beyond Meat
- How Nestle tackles Indian challenges - interview
- Lamb Weston goes it alone: six things to learn
- Thailand: convenience to continue to thrive
- Mars launches Maltesers in the US
- Bel takes majority stake in MOM Group
- Campbell backs US nutrition start-up Habit
- Mondelez focuses on margins as sales slip
- Nestle's Buitoni to remove GMOs
- The Big 15: Strategies and Priorities of Top Packaged Food Players in Comparison
- Omega-3 in Food and Beverage:Time for a Reboot?
- Packaged Food: Quarterly Statement Q3 2016
- Global Food Packaging: Innovating for Greater Convenience and Quality Image
- Meat Processing in China - Industry Market Research Report