Sector News

Lantmännen acquires Tate & Lyle’s oat ingredient business

March 26, 2019
Food & Drink

Swedish agricultural cooperative Lantmännen has acquired Tate & Lyle’s oat ingredient business, which is based in Kimstad, Sweden.

As part of the deal, Lantmännen is acquiring an oat mill with a capacity of 55,000 tons and an oat ingredients manufacturing facility.

The purchased facility has around 35 employees and currently produces oat protein, beta glucan and oat flour. Completion of the transaction will take place on 29 March 2019.

Joan Braca, president of food and beverage solutions at Tate & Lyle, said: “We are pleased to reach this agreement with Lantmännen which represents a good outcome for our oat ingredient employees and customers and enables us to focus our business on serving our customers in our main food and beverage categories. We wish Lantmännen and its employees every success for the future.”

Lantmännen said the additional oats capacity will enable it to meet growing demand from customers in the Nordic food industry.

The company has three oatmeal mills in Sweden, Denmark and Norway, and markets food and ingredients based on oats to the food industry. It is currently pursuing research and innovation to develop new oat products.

Per Olof Nyman, CEO of Lantmännen, said: “Oats are a strategic investment area for Lantmännen and the further development of our oats business is a key part of our ‘Field to Fork 2030’ strategy.

“We are already strongly positioned in oats and this acquisition gives Lantmännen access to a modern mill that complements our existing production capacity within oats and creates a unique opportunity to develop and manufacture ingredients based on oats as the raw material.”

Once the acquisition has been completed, the facility will become part of the Lantmännen energy sector.

Magnus Kagevik, head of the energy sector at Lantmännen, said: “Lantmännen’s energy sector already has specialist expertise within the processing of wheat, and oat products will be an excellent complement to our current business.

“The acquisition enables Lantmännen to increase the production capacity of heat-treated oats significantly and gives us an opportunity to create added value within oat processing. It also creates synergies both within the energy sector and our other businesses at Lantmännen.”

By Jules Sculle

Source: FoodBev

comments closed

Related News

January 22, 2023

Danone unveils plan to cut methane emissions

Food & Drink

The company expects to eliminate 1.2 billion tons carbon dioxide equivalent of methane emissions by the end of the decade. The company says that it already reduced its methane emissions by around 14% between 2018 and 2020.

January 22, 2023

US researchers land US$2.4M to turn food waste into “affordable” bioplastics

Food & Drink

The “first-of-its-kind” pilot project will develop and demonstrate an affordable modular bioprocessing system to produce biodegradable bioplastics from food waste diverted from landfills. The three-year grant will test the scalability and feasibility of the conversion on a national and global scale.

January 22, 2023

Arkeon partners with ICL to transform CO2 into proteins

Food & Drink

Arkeon is allying with specialty mineral giant ICL to support the scaling of its fermentation bioprocess that converts CO2 into the 20 proteinogenic essential amino acids needed in human nutrition. The process, hailed as carbon negative, is based on the use of archaea, a group of microorganisms that naturally feeds off the greenhouse gas.

How can we help you?

We're easy to reach