Wessanen, a leading player in the European natural and organics market, has announced that it has signed an agreement with the owners of Abafoods to acquire the company for a purchase consideration of €52 million ($65 million) on a cash and debt free basis.
Abafoods is a European specialist in organic non-dairy drinks, producing goods based on rice, coconut, almond, oat, spelt and soy. The company operates an advanced manufacturing plant in Badia Polesine (Italy) and owns and manages around 400 hectares of organic farm land in Italy to partly grow its raw materials. Its Isola Bio brand is the leading non-dairy drink brand in Italian health food stores and is also exported successfully to a wide range of export countries. In addition, Abafoods currently produces a significant proportion of non-soy cereal drinks for Wessanen’s Bjorg and Bonneterre brands as well as manufacturing for other third parties in Europe.
Wessanen CEO Christophe Barnouin commented: “The acquisition of Abafoods is a major step in the execution of our strategy. Abafoods unique expertise in dairy alternatives will strengthen our R&D and production capabilities to fuel the growth of our brands in Europe, as well as Isola Bio, in this core category. It also gives us critical mass in Italy – a large and growing organic market in Europe – with a leading brand position thanks to Isola Bio. Finally, it reinforces our commitment to organic: Abafoods, like Wessanen, are two companies, where we commit to organic food and sustainable farming”.