German GEA to purchase Dutch Convenience Food Systems.
German engineering group GEA (ETR:GEA) announced the takeover of Dutch Convenience Food Systems (CFS), a supplier of secondary food processing and packaging machinery, from AEA Investors LP.
The deal price, to be funded via existing credit facilities, is based on a company value of some EUR435m (USD330m), GEA said.
The move will enable GEA to expand horizontally its food process technology business, Juerg Oleas, CEO of the company, said. The takeover will boost the firm's cash flow and earnings per share.
The acquisition awaits green light from the antitrust regulators and is seen finalising in the first six months of 2011.
CFS, with 2,000 employees, forecasts sales of EUR400m for the current fiscal year.Country: Netherlands, Sector: Machinery/EngineeringTarget: CFS BVBuyer: GEA Group AGVendor: AEA Investors LPDeal size in USD: 330mType: Corporate acquisitionFinancing: Debt, Existing resourcesStatus: AgreedComment: Deal size shows CFS' enterprise value.
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|Publication:||M & A Navigator|
|Date:||Dec 21, 2010|
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