Princes Group, one of Britain’s biggest ambient food groups, said Italy’s Newlat Food will acquire the food and drink business from Mitsubishi Corporation for £700m.
Newlat owns Symington’s, the Leeds-based branded meal and snack manufacturer, in the UK, which it acquired in 2021.
With a global supply network and a portfolio of branded and customer own brand products, Princes is one of the UK’s largest food and drink groups.
Headquartered in Liverpool, Princes has a presence across continental Europe, managed from the Netherlands. There are also dedicated sales and marketing offices in Poland, tuna processing facilities in Mauritius, tomato processing in Italy and edible oils production in Poland.
“This is an exciting prospect for Princes, and we are delighted that Newlat share our confidence in the group’s strategic growth plans, brand strategy, operational excellence and people culture,” Simon Harrison, recently appointed chief executive of Princes, said.
“The intended sale remains an ongoing process and further information will be shared in due course.”
Newlat is an international agro-food group with a strong heritage, producing and distributing dairy, baby food, pasta, bakery, gluten free, instant hot snacks and other specialty food products mainly under its own brands as well as private label.
Newlat has operations in four countries, namely Italy, the UK, Germany and France, through its subsidiaries Centrale del Latte d’Italia, Symington’s, Newlat GmbH and EM Foods.
Following the completion of the acquisition of the group, Newlat Food and its group will become ‘New Princes Group’. Princes Limited will retain its identity and operate as a UK based subsidiary of the New Princes Group. The newly formed New Princes Group will have a global operating network of 31 factories and a diversified portfolio across 10 distinct categories.
Combining these two large, complementary businesses would create a leading player in the European food industry with a revenue of around €2.8 billion and an adjusted EBITDA of €190 million. By leveraging the expertise, commercial networks, and know-how of the group, the management aims to increase the group’s turnover to €5 billion by 2030.
“We are extremely proud to have agreed this transaction, marking a crucial milestone in our growth strategy. Princes Limited is a prestigious company, and integrating its operations with Newlat Food allows us to further solidify our position as a leader in the food sector,” commented Angelo Mastrolia, chairman of Newlat Food.
“On closing of this acquisition, Newlat Food will become the largest food company listed on the Milan Stock Exchange, reinforcing its role as a key international player. The economic outlook of the new group gives us confidence in a future of sustainable growth, poised to create value for all stakeholders.
“The integration between Newlat Food and Princes Limited represents a significant opportunity for both companies to share expertise, resources, and synergies, contributing to a successful and mutually beneficial future. The mission of the new group remains to ensure continuous excellence and innovation, keeping customer satisfaction and sustainability at the forefront.”
The acquisition is subject to customary regulatory approvals and consultation of both the European and the Dutch works council within the Princes Group, and is expected to take place by the end of July.
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