Sector News

Nomad Foods has an appetite for more deals

September 1, 2015
Food & Drink

Nomad Foods, the new owners of Birds Eye and Findus’ European assets, has said that it is hungry for more deals.

Nomad, which was set up as a cash vehicle by consumer goods tycoons Martin E Franklin and Noam Gottesman, said that revenues fell by 2.4pc in the year to the end of June.

The group, which bought fish finger maker Iglo Group for €2.6bn (£1.9bn) in April, added Findus Foods’ European business for £500m earlier this month.

The combined group posted a €536m post-tax loss for the year, after various costs and charges relating to the Iglo acquisition.

Stefan Descheemaeker, Nomad’s chief executive, said the results were in line with expectations, given the difficult retail environment across the group’s core geographies.
The food boss said that Nomad had increased promotions on some of its products to appeal to value-seeking customers, while introducing new items, such as wholegrain chicken nuggets, across its markets.

“As we look to the future, we believe Nomad is well positioned to take advantage of numerous growth opportunities across Western Europe and globally, not only within the frozen food category, but also within the broader packaged food space” said Mr Descheemaeker.

“Stéfan and his team have created a strong platform to lead the consolidation in the fragmented global food sector”, Mr Gottesman said.

“The Iglo acquisition is performing as expected and we are excited about other potential acquisition opportunities that meet our criteria of being leaders in niche markets and having a long history of strong free cash flow generation.

“The momentum we have achieved thus far in 2015 have us well positioned to achieve meaningful long-term growth both organically as well as through prudent and complementary M&A opportunities.”

Nomad raised $485m from an initial public offering in April 2014 to fund acquisitions in the food and beverage industry. The group raised a further $330m in July to finance its dealmaking.

Nomad has won support from Bill Ackman, the founder of activist hedge fund Pershing Square, who revealed he had 22pc stake in June.

By Ashley Armstrong

Source: The Telegraph

comments closed

Related News

January 29, 2023

Danone appoints three new deputy CEOs

Food & Drink

Danone has appointed three deputy CEOs to “better connect categories and regions” and drive the delivery of its ‘Renew Danone’ strategy. The new appointees are Veronique Penchienati-Bosetta, Shane Grant and Juergen Esser. They will report to Danone CEO Antoine de Saint-Affrique.

January 29, 2023

PepsiCo Portugal invests €7.5m in biodigester

Food & Drink

PepsiCo Portugal has announced that it will invest €7.5 million to construct a new biodigester, which will turn organic waste into biogas. As well as helping its Carregado facility to achieve a 30% reduction in carbon emissions, the biodigester will also contribute to reducing gas consumption, allowing the installation to use the biogas produced during the anaerobic digestion process.

January 29, 2023

Kerry’s fellowship with Upcycled Food Foundation explores future of food waste prevention

Food & Drink

Kerry is sponsoring The Kerry Upcycled Food Foundation Fellowship in a new partnership with the Upcycled Food Foundation (UFF), the non-profit subsidiary of the Upcycled Food Association (UFA). The research fellowship is the second initiated by the UFF and will work toward advancing the understanding of the market, consumer perception and technical opportunities of upcycled food.

How can we help you?

We're easy to reach