Spain’s Ebro Puleva, one of the world’s biggest rice makers, could become an international takeover target because of its “healthy” finances, analysts have said.

Ebro has a strong balance sheet despite its recent €380m (US$499.4m) acquisition of US rice company Riviana. Its strong cash flow should help it finance future acquisitions.

“Ebro’s profits per dividend are over 3%, it’s trading at very attractive ratios and has great profit potential,” Deutsche Bank research said.

David Pena from Caja Madrid brokerage added that buyout firms “are looking for companies with strong potential for cash flow and dividend generation and Ebro is a good example”.

Ebro can generate over €110m in cash flow per year, which “is very significant and above industry average,” Pena said.