Spanish pasta maker Ebro Foods has agreed to sell parts of its Panzani unit to buyout fund CVC in a transaction valued at €550 million.
Ebro Foods said it will sell France-based Panzani's dry pasta, semolina, couscous and sauces, but will keep the division that makes fresh products and rice.
The company will book a €91 million capital gain from the sale. The transaction is expected to be completed by the end of 2021, the company said.
The sale is part of Ebro's strategy to focus on premium and fresh products. The company has offloaded in recent months dry pasta units in Canada and the United States.
Ebro Foods Offloads Ronzoni
In June, the business closed the sale of its Ronzoni dry pasta business and the dry pasta plant in Winchester, USA, in a transaction valued at $95 million.
Despite selling the Ronzoni business, Ebro retains a solid presence in the US pasta market, through its Garofalo and Bertagni brands.
Ebro Foods is a leading firm in the global pasta and rice markets, with brands including Olivieri, Bertagni, Garofalo, Santa Lucia, Russo de Cicciano and Roland Monterrat, among others.
In April, the business reported 10.6% growth in first-quarter net profit, to €52.8 million, as lockdowns and restrictions on restaurant opening hours pushed more people to eat at home.
The company described its first-quarter sales performance as 'very positive', attributing it to the good performance of its brands, which remained strong in all their markets.