British food packing business Hilton Food has agreed to buy smoked salmon producer Dutch Seafood Company for an enterprise value of €90 million, entering the US market and expanding into the protein category.
Netherlands-based Dutch Seafood, which trades as Foppen, has customers in its home market as well as the United States.
London-listed Hilton Food also announced an equity raising of £75 million to partly fund the deal, which is expected to add to its earnings in the first 12 months.
'Entering New Markets'
“The acquisition of Foppen is an exceptional opportunity for Hilton and another step towards our goal of becoming the global protein partner of choice," commented Hilton chief executive Philip Heffer.
"More and more consumers around the world are seeking affordable, high quality, and sustainable protein, and this acquisition will help Hilton take our offer into new markets and to new global customers for the first time."
In its most recent financial year, to 31 March 2021, Foppen reported revenues of €139.7 million, as well as adjusted underlying EBITDA of €10 million.
“We are excited by the future prospects of Foppen under Hilton’s ownership and look forward to working with Philip and team. Foppen’s offer to customers, suppliers and employees will be enhanced as part of Hilton Food Group," commented Andre van der Padt, Foppen chief executive.
Foppen operates two smoked salmon facilities in Harderwijk, the Netherlands and Preveza, Greece, which will become part of Hilton's operating structure.
In November, Hilton announced the acquisition of meat supplier Fairfax Meadow Europe Limited from Argent Holdings Limited, while in September, it agreed to acquire the remaining 50% shareholding in Dalco Food, a Dutch vegan and vegetarian food producer.