Spain's Ebro Foods has announced that it has agreed to sell part of its dry pasta and noodles business to TreeHouse Foods in the USA through its subsidiary Riviana Foods.
The transaction includes several of Ebro Foods' dry pasta and noodles brands in the USA and the manufacturing facility at St. Louis.
Ebro Group will retain its iconic brands Ronzoni and Garofalo as well as its factories in Fresno and Winchester.
For this transaction, the company has valued the assets transferred at USD242.5 million (€205.12 million).
The transaction would generate an estimated net (after taxes) capital gain of €27 million in the consolidated accounts of the Ebro Group.
The transferred business generated revenue of approximately USD200 million (€169.2 million) in the twelve months ended 30 June 2020.
Completion of the transaction is subject to closing conditions and other formalities, the company added.
TreeHouse Foods, Inc. is a manufacturer and distributor of private label packaged food and beverages in North America with nearly 40 production facilities across North America and Italy.