Belgian frozen vegetable firm PinguinLutosa has signed an agreement to sell its potato division to McCain Foods in a deal based on an enterprise value of the division of €225m.
The agreement includes the production, marketing and distribution of frozen, chilled and dehydrated potato products, as well as the Lutosa brand.
A binding agreement has been reached by both companies’ boards, but terms of the deal were not disclosed. The acquisition still requires authorisation from relevant regulatory bodies.
CEO of McCain Continental Europe Jean Bernou said: “This acquisition is in line with our strategy of reinforcing our core potato business in Europe. The products and brand positioning of McCain and Lutosa are highly complementary. Lutosa will help us to further expand our product offering and cater to a wider range of customers while ensuring continuity in terms of investments and optimal service quality.”