Italy’s Newlat Food has invested £53 million (€62.1 million) to acquire UK-based meat and snack manufacturer Symington’s Group.
The purchase agreement, which is not subject to any competition conditions, was signed with Speedboat Acqusitionco Limited and relates to the acquisition of Symington’s, Symington’s Holdings and Symington’s Australia.
Symington’s Group brands include instant noodles brand Naked; Mugshot soups and ready meals; Twistd couscous and rice-based meals; Rochelle croutons; Chicken Tonight baking kits; and Ragu pasta sauces.
Symington’s Group has three production plants and one distribution centre in the UK. Its products are sold mainly in the UK, US and Australia.
Over the last two years, the company generated recurring revenues of £105 million (€123 million). It plans to launch over 100 new products in the period 2021-2024.
The transaction will enable Newlat Food to consolidate its presence in the UK by harnessing Symington’s nationwide distribution platform and strong relationship with key retailers, it said.
The total cost synergies set to be achieved by the end of 2022 are estimated at €10 million, according to Newlat Food.
Newlat Food Strategy
The acquisition fits into Newlat Food’s strategy to further boost its presence outside Italy and will enable the company to achieve a consolidated revenue of over €630 million.
Mainly active in the bakery and special products sectors, particularly the health & wellness, gluten free and baby food sectors, Newlat Food sells its products in more than 60 markets around the world.
In April, Newlat Food said that it reported a 3.2% increase in revenue last year, despite the challenges of the coronavirus pandemic.
© 2021 European Supermarket Magazine – your source for the latest retail news. Article by Branislav Pekic. Click subscribe to sign up to ESM: The European Supermarket Magazine