Kerry Group PLC (LON:KYGA) has strengthened its position in food drying and preservation with the acquisition of Niacet for €853mln (£732mln).
The deal comes just days after it sold its UK consumer meats and food business to Pilgrim’s Pride for €819mln.
Niacet specialises in preservation technology, especially in bakery and pharma, and low salt systems for meat and plant-based food.
For the year ended 31 December 2021, Niacet is expected to have pro forma annualised revenue of US$220mln and underlying profits of US$66m.
Kerry said the new business will enhance its food protection and preservation strategy and the resulting synergies will allow Niacet significantly to outperform the market and deliver at least mid-to-high single-digit volume growth.
Edmond Scanlon, Kerry’s chief executive, added: "The acquisition of Niacet's complementary product portfolio enhances our leadership position in the fast-growing food protection and preservation market and significantly advances our sustainable nutrition ambition.”
Niacet, which has customers in more than 75 countries and manufacturing sites at Niagara Falls and in The Netherlands, is being sold by private equity group SK Capital.