Unilever to sell struggling tea business to CVC Capital Partners for US$5B

UK – British multinational consumer goods company, Unilever Plc has agreed to sell its global tea business to CVC Capital Partners for 4.5 billion euros (US$5.1 billion).  Unilever started reviewing its tea business almost two years ago after sales slipped as many consumers switched to alternatives such as kombucha, coffee, and herbal tea.    The business being sold, called Ekaterra, hosts a portfolio of 34 tea brands including Lipton, PG Tips, Pukka Herbs, and TAZO. It generated revenues of 2 billion euros in 2020.  Ekaterra will be sold to CVC’s…

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PFF Group expands packaging portfolio with acquisition of Sirap UK

UK – PFF Group, one of the UK’s largest independent food packaging manufacturers, has acquired the UK arm of the Italian Sirap Group to expand presence in the UK thermoformed packaging industry.   The acquisition of Sirap UK will see the two long-standing business in the packaging sector combine and help diversify PFF’s product range.   “This investment forms a key part of the Group’s continued growth strategy,” PFF Group managing director Kenton Robbins said.  Robbins noted that with Sirap UK, PFF will be able to increase its brand share of the UK’s thermoforming sector while providing a  fantastic opportunity…

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Unga seeks shareholders nod for aqua, animal feed joint venture with Dutch Nutreco International

Kenyan-based holding company with investments in flour milling and manufacturing of human nutrition products and animal feeds, Unga Group, is seeking shareholder approval to transfer part of the assets in two of its subsidiaries to the newly formed joint ventures with Nutreco International. In August, the milling giant forged an investment agreement with the Netherlands based feeds manufacturer to establish JV companies in Kenya and Uganda through its subsidiaries Unga Farm Care and Unga Millers. After the transfer, the company says its two subsidiaries — Unga Farm Care and Unga…

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Tongaat Hulett to surrender majority share-holding through rights offer aimed to cut towering debts

SOUTH AFRICA – Indebted South African sugar producer Tongaat Hulett, has proposed a major recapitalisation via a rights offer of new shares, partially underwritten by Magister Investments Limited, a shareholder and strategic partner. Magister is an investment holding company incorporated in the Republic of Mauritius and focuses on long-term investments in agriculture, logistics and other sectors across Southern Africa. The company has also invested in Agriterra Limited, an AIM listed company in London. Under the agreement, Magister will partially underwrite the rights offer up to a maximum of R2 billion…

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General Mills to trim portfolio with possible sale of Progresso, Hamburger Helper brands for US$3B

USA – General Mills is considering a sale of brands including its  Progresso Soup and ready to eat meals label  Hamburger Helper for about US$3 billion, Bloomberg has reported citing people with knowledge of the matter.  The Cheerios cereal maker is working with Goldman Sachs Group Inc for the potential sale which also includes some of its smaller brands, the report said. The move comes months after General Mills announced the sale of its majority stake in the European operations of Yoplait to French dairy cooperative Sodiaal in exchange for full ownership…

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Pilgrim’s acquires Randall Parker Foods to bolster presence in UK animal protein market

UK – Pilgrim’s UK, a subsidiary of US-based Pilgrim’s Pride Corporation, has announced the acquisition of lamb processor Randall Parker Foods (RPF) as it continues to expand across the animal protein sector.   RPF has two manufacturing facilities – an abattoir in Powys processing up to 20,000 lambs a week and a retail packing plant in Andover.  Following the acquisition, the two facilities employing over 350 employees, would form part of its Dalehead Foods division, Pilgrim’s UK said.   Jim Gaffney, managing director of RPF, will continue to oversee operations at the two sites.…

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Restaurant Brands expands American footprint with acquisition of Firehouse Subs for US$1B

USA — Multinational fast food holding company, Restaurant Brands International Inc., is acquiring Firehouse Restaurant Group Inc., the parent company of Firehouse Subs, for $1 billion in an all-cash transaction.  Founded in 1994 by brothers and former firefighters Chris Sorensen and Robin Sorensen, Firehouse Subs has approximately 1,200 quick-service sandwich shops across 46 US states, Canada and Puerto Rico.  For the first 10 months of the year, its same-store sales climbed 20% compared with the same time two years ago and the franchise is expected to generate approximately US$1.1 billion in systemwide…

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Danone sells Danish water company Aqua d’Or, settles coffee creamer branding lawsuit with Nestlé

FRANCE – French food company, Danone SA has agreed to sell Aqua d’Or, its water-and-beverage business in Denmark, to local brewing-and-beverage company Royal Unibrew AS.  Danone, which didn’t disclose financial details of the sale, said the transaction is part of its strategic portfolio review and optimization of capital allocation.  Launched in 2000, Aqua d’Or, is a leading Scandinavian beverage company with its still bottled water segment being the market leader in Denmark and  Sweden where it also has an established footprint.  Danone acquired a 49% stake in the company back in 2006 under the then…

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Anheuser-Busch expands beyond beer portfolio with acquisition of Hoop Tea

USA – American brewing company, Anheuser-Busch has acquired Hoop Tea, a Maryland-based beverage company known for its tea-infused malt beverages and seltzers, as part of the company’s push beyond the beer aisle.  Hoop Tea will join Anheuser-Busch’s Beyond Beer portfolio, which includes brands such as Cutwater Spirits, Babe Wine, and Bon & Viv Spiked Seltzer.   The segment has captured more than US$1 billion in revenue during the last three years, the company said, citing IRI data.  Hoop Tea adds a new offering to that portfolio, competing in the hard tea…

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PlantPlus Foods acquires Drink Eat Well and Sol Cousin in new market expansion drive

USA – PlantPlus Foods LLC, a joint venture between ADM and Brazilian meat processor Marfrig, is set to expand in North America following the acquisition of Drink Eat Well LLC and Sol Cuisine Ltd.  Drink Eat Well is based in the United States and is the manufacturer of the Hilary’s brand of plant-based products. It also has   a variety of allergy-friendly plant-based meat alternatives that are used in various applications including burgers and sausages.  Canadian-based Sol Cuisine Inc., is on the other hand, a processor of tofu as well as…

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