Italian food group Granarolo is reportedly looking to offload its 50% stake in a domestic business it has owned for almost five years.
Granarolo has hired advisers Euromerger to help the company sell its half of pasta maker Pastificio Granarolo, the Italian business daily Il Sole 24 Ore has reported.
just-food has contacted Granarolo representatives for comment but had not received a response at the time of publication.
Granarolo acquired the stake in Pastificio Granarolo in June 2015. The company, anchored in dairy, said at the time the move was “the first operation in a product diversification strategy that aims to develop the company’s presence on international markets”.
Since then, Granarolo’s deal-making has included transactions in dairy but also the 2018 purchase of the UK’s Midland Food Group as it sought a bigger slice of that country’s chilled food market.
The Mattei family, descendants of Pastificio Granarolo founder Evaristo Girotti, owns the rest of the business.
Earlier this month, Granarolo posted its financial results for 2019. The company booked turnover of EUR1.32bn (US$1.43bn) in 2019, up 1.2% on a year earlier.
Like-for-like revenues, excluding the impact of exchange rates, dipped 0.4%, due, Granarolo said, to a deflationary effect on sales prices and a fall in unit sales “that characterised the Italian market in 2019”.
Granarolo’s EBITDA, before the impact of the new IFRS 16, amounted to EUR73m, fell 4.4% to EUR73m but was “substantially in line with company forecasts”.
Net profit for the year amounted to EUR13.3m, down from EUR9.9m in 2018.