The Lala Group’s Board of Directors has agreed to propose to company shareholders the acquisition of up to 100 percent of the shares of Brazilian dairy giant, Vigor Alimentos, S.A. and the shares of Itambé Alimentos, S.A. for an implied value of R$5,725m (US$1.84bn).
Earlier this week, FoodIngredientsFirst reported how the Mexican-based Lala Group, was looking to seal a deal to buy control of Vigor Alimentos with a Board of Directors meeting scheduled to finalize the acquisition. You can read the full story here.
It said in a statement that a proposal to acquire Vigor from investment holding company J&F Investimentos SA, as well as a borrowing plan and potential share offering, would go before the Board.
Today (Aug 4), the Group has further announced that as a first step towards completing the transaction, Lala, FB Participações and JBS S.A. entered into a share purchase agreement pursuant to which Lala will acquire, subject to its terms and conditions, 91.99% of the shares of Vigor.
In addition, as part of the transaction, Lala may acquire from Arla Foods International an additional 8 percent of Vigor’s shares, increasing Lala’s participation to 99.99 percent.
The transaction is subject to certain approvals by Grupo Lala’s shareholders’ meeting, governmental authorizations, shareholder agreement and other contractual conditions.
Substantial provisions for a successful integration and mitigation of risks have been included in the share purchase agreement.
Financing for the transaction will include a bridge loan, followed by a combination of long-term debt and additional equity of approximately US$550 million, of which an estimated US$315 million will be committed by LALA’s current shareholders, adds the group.
Source: Food Ingredients First
After eight years with Nestlé, François-Xavier Roger, executive vice president and chief financial officer (CFO), has decided to leave the company to pursue new professional challenges, making way for finance boss Anna Manz. Meanwhile, Unilever announced that Graeme Pitkethly, CFO, will retire by the end of May 2024, and the hunt is on for his successor.
International spirits company Bacardi Limited has announced the appointment of Alicia Enciso to its board of directors. Enciso joins with more than 30 years of experience with multinational Fortune 100 Companies in the food and beverage sector with roles as general manager, president, chief marketing officer and e-business officer.
According to Innova Market Insights, when it comes to beverages, consumers are willing to pay more for what they value most, despite rising inflation. Additionally, consumers want brands that respond to their core values and have the benefits they seek, such as sustainability and functional ingredients.