Canada's Saputo Acquires Dairy Crest
Canadian dairy giant Saputo has announced the completion of its acquisition of UK firm Dairy Crest for a price of £6.20 per share, in a deal that values the business at £975 million (€1.12 billion).
In a statement Saputo said that the acquisition enables it to 'expand its international presence and to enter the UK market by acquiring and investing in a well-established and successful industry player with a solid asset base and an experienced management team'.
Dairy Crest, which manufactures and markets cheese under brands including Cathedral City, Clover, Country Life and Frylight, posted revenues of £456.8 million (€526.8 million) last year.
Saputo said that Dairy Crest boasts an 'attractive platform' that fits in with its own growth strategy.
The acquisition was financed through funds drawn on a new bank term loan facility, and was implemented by way of a Court-sanctioned scheme of arrangement under the UK Companies Act 2006.
Lazard acted as financial advisor to Saputo, and Freshfields Bruckhaus Deringer LLP and Stikeman Elliott LLP acted as its legal counsel.
The deal was initially announced on February 22.
© 2019 European Supermarket Magazine – your source for the latest retail news. Article by Stephen Wynne-Jones. Click subscribe to sign up to ESM: European Supermarket Magazine.