Pitch Best Small Cap Deal 2021: TerBeke – Campofrio Food Group’s Benelux assets

Bekijk alle pitches & stem direct

Involved firms and advisors  
 

Involved firms and advisors buy side:  
Allen & Overy (Legal Advisory Corporate M&A) 

Involved firms and advisors target:  
NautaDutilh (Legal Advisory Corporate M&A), Rabobank (M&A Advisory)  

Involved firms and advisors sell side:  
NautaDutilh (Legal Advisory Corporate M&A), Rabobank (M&A Advisory)  

Pitch   

Brief description deal / Deal outline  
Sigma Alimentos, S.A. de C.V.,a company dedicated to the production, marketing, and distribution of quality branded foods, agreed to sell its operations in Belgium and the Netherlands to Ter Beke Group. The Intended Transaction includes six production facilities, five in Belgium and one in the Netherlands, as well as the Marcassou, Imperial, Stegeman, Leielander, and Bistro brands. As a reference, these operations and brands contributed approximately 1% of Sigma´s consolidated EBITDA in 2020.  

Why should this deal win the Award for Best Deal 2021?  
Sigma – a leading multinational food company that produces, markets, and distributes quality branded foods, including packaged meats, cheese, yogurt and other refrigerated and frozen foods – and more specific meat processor Stegeman is well known in the Netherlands. The sale of the six production facilities to Ter Beke Group will accelerate the growth of Ter Beke Group in the Netherlands and Belgium and fulfil Ter Beke's mission to respond to trends in the food market, such as the increased importance of snacking and the uptake of vegetarian and plant-based products.  

Deal rationale:  
Sigma is implementing a comprehensive plan to continue enhancing their profitability and growth. This transaction will help them consolidate their operations and focus on their leading positions in core European markets to achieve the double-digit EBITDA margin target in the region. For Terbeke the combination will result in a more complete offering to our customers by adding established brands to their product portfolio.  

What is the impact of this deal for the company?  
The new combination will result in a more complete offering to Ter Beke's customers by adding established brands to their product portfolio, such as Marcassou, Stegeman and Aoste. Joining forces with Imperial and Stegeman will furthermore allow Ter Beke to better respond to trends in the food market, such as the increased importance of snacking and the uptake of vegetarian and plant-based products. Together, they will turn this into a success story that will enhance the company’s growth in Belgium and the Netherlands. Nothing will change for the branches involved and the staff working there.  

What is the impact of this deal for the direct stakeholders?  
Sigma is implementing a comprehensive plan to improve their profitability and growth. This transaction will help Sigma to consolidate their operations and focus on their leading positions in core European markets to reach the double-digit EBITDA margin target in the region   

What is the impact of this deal on society?  
A more solid and broader position of the brand Ter Beke, an innovative Belgian fresh food group with a wide range of high-quality fresh food products and associated services operating commercially in many European countries. Specializes in the production and sale of processed meat products and ready meals, prepared at 12 industrial locations in Belgium, the Netherlands, France, Poland and the United Kingdom. Ter Beke has some 2,650 employees.  

What was most complex about this deal?  
The deal includes entities in Belgium and The Netherlands, including several product facilities and 1 works council in The Netherlands, 4 in Belgium and 1 European works council.  

Bekijk alle pitches & stem direct