10.15.15
Kerry, the global taste and nutrition and consumer foods group, is acquiring three U.S. businesses—Biothera Inc’s Wellmune business, Red Arrow Products and Island Oasis—significantly expanding the group’s portfolio of innovative taste and nutrition solutions for global food, beverage and pharmaceutical applications.
Total consideration for the three businesses amounts to $735 million. In the financial year 2014, the businesses being acquired had annual revenues of $301 million and earnings before interest, taxation, depreciation and amortization (EBITDA) of $59 million. Kerry Group will finance the acquisitions from existing lines of credit.
Biothera Inc.’s Wellmune business produces and markets the unique Wellmune branded natural food, beverage and supplement ingredient clinically proven to strengthen the immune system—improving health and wellness. Kosher, Halal, non-allergenic, GMO-free, gluten-free and “Informed Sport” certified, Wellmune is formulated in a growing number of food, beverage and supplement products in more than 50 countries throughout the world. The acquired business broadens Kerry’s functional nutritional ingredients and wellness portfolio and complements the group’s taste solutions for food, beverage and supplement applications.
Red Arrow Products is a leading supplier of natural smoke flavors and authentic natural savory grill flavors serving meat, culinary and food industry markets worldwide. Headquartered in Manitowoc (WI), Red Arrow operates from manufacturing facilities in Manitowoc (WI) and Rhinelander (WI) supported by Application & Development Centres in Germany and Sweden. Combined with Kerry’s recent acquisition of Wynnstarr Flavors and KFI Savoury (the U.S. based savory business of Kraft Food Ingredients), the acquisition of Red Arrow will further strengthen Kerry’s taste, technology and savory flavor industry leadership. The acquisition, subject to regulatory approval, is expected to complete in early December.
Island Oasis is a category leading provider of all-natural premium cocktail mixes and customized beverage solutions serving “on-premise,” restaurant, leisure and hospitality segments of the U.S. market. Distributed and marketed though national and regional chains, QSRs and independents; the Island Oasis portfolio includes innovative frozen and shelf-stable fruit purées, coffee blends, performance nutrition beverage systems and customized ‘on-premise’ beverage equipment.
Headquartered in Walpole (MA), the business operates from manufacturing facilities in Byesville (OH) and Buffalo (NY). The acquired business market-leading brands, including Island Oasis, Fuel and Barista Fria, complement Kerry’s existing branded foodservice offerings (including DaVinci Gourmet, Big Train, Oregon Chai, Golden Dipt and Gold Ladle), broadening the Group’s market reach and service in fast growing segments of the foodservice channel.
Commenting on the acquisitions, Stan McCarthy, Kerry Group Chief Executive said; “The acquisitions of Red Arrow, Island Oasis and Wellmune, as well as significantly expanding our taste and nutritional solutions portfolio, bring a number of important innovative technology platforms to Kerry. Complementing our existing taste and nutrition leadership positioning and growth strategies, the businesses being acquired present tremendous growth opportunities throughout Kerry’s global developed and developing markets.”
Total consideration for the three businesses amounts to $735 million. In the financial year 2014, the businesses being acquired had annual revenues of $301 million and earnings before interest, taxation, depreciation and amortization (EBITDA) of $59 million. Kerry Group will finance the acquisitions from existing lines of credit.
Biothera Inc.’s Wellmune business produces and markets the unique Wellmune branded natural food, beverage and supplement ingredient clinically proven to strengthen the immune system—improving health and wellness. Kosher, Halal, non-allergenic, GMO-free, gluten-free and “Informed Sport” certified, Wellmune is formulated in a growing number of food, beverage and supplement products in more than 50 countries throughout the world. The acquired business broadens Kerry’s functional nutritional ingredients and wellness portfolio and complements the group’s taste solutions for food, beverage and supplement applications.
Red Arrow Products is a leading supplier of natural smoke flavors and authentic natural savory grill flavors serving meat, culinary and food industry markets worldwide. Headquartered in Manitowoc (WI), Red Arrow operates from manufacturing facilities in Manitowoc (WI) and Rhinelander (WI) supported by Application & Development Centres in Germany and Sweden. Combined with Kerry’s recent acquisition of Wynnstarr Flavors and KFI Savoury (the U.S. based savory business of Kraft Food Ingredients), the acquisition of Red Arrow will further strengthen Kerry’s taste, technology and savory flavor industry leadership. The acquisition, subject to regulatory approval, is expected to complete in early December.
Island Oasis is a category leading provider of all-natural premium cocktail mixes and customized beverage solutions serving “on-premise,” restaurant, leisure and hospitality segments of the U.S. market. Distributed and marketed though national and regional chains, QSRs and independents; the Island Oasis portfolio includes innovative frozen and shelf-stable fruit purées, coffee blends, performance nutrition beverage systems and customized ‘on-premise’ beverage equipment.
Headquartered in Walpole (MA), the business operates from manufacturing facilities in Byesville (OH) and Buffalo (NY). The acquired business market-leading brands, including Island Oasis, Fuel and Barista Fria, complement Kerry’s existing branded foodservice offerings (including DaVinci Gourmet, Big Train, Oregon Chai, Golden Dipt and Gold Ladle), broadening the Group’s market reach and service in fast growing segments of the foodservice channel.
Commenting on the acquisitions, Stan McCarthy, Kerry Group Chief Executive said; “The acquisitions of Red Arrow, Island Oasis and Wellmune, as well as significantly expanding our taste and nutritional solutions portfolio, bring a number of important innovative technology platforms to Kerry. Complementing our existing taste and nutrition leadership positioning and growth strategies, the businesses being acquired present tremendous growth opportunities throughout Kerry’s global developed and developing markets.”
