McCain Foods has acquired Scelta Products for an undisclosed sum.
While the financial details of the transaction are not being made public Charlie Angelakos, Vice-President of Global External Affairs and Sustainability at McCain Foods, told FoodNavigator: “Scelta Products' global revenue is upwards of €100m and represents a significant investment that will fuel McCain’s growth and expansion in the frozen vegetable appetizer industry.”
Outlining the agreement, McCain highlighted the complementary nature of the two businesses and suggested that, moving forward, it expects to capitalise on sales synergies.
McCain Foods President and CEO Max Koeune elaborated: "With common customers and shared values as family-owned companies, there is a natural complement between McCain Foods and Scelta Products. We feel honoured and privileged to build on the legacy of Scelta Products, bringing their delicious product to our customers as we expand on the fantastic business that Scelta's founders have created."
Scelta Products has been ‘driving innovation’ in the frozen vegetable industry for more than 22 years. The company has been a business partner of McCain's for the past 13 years and the North American French fry maker said Scelta’s onion rings, battered and breaded mushrooms and other vegetable appetizers ‘fit well’ within McCain's existing appetizers portfolio.
Eyeing opportunity in frozen appetisers and snacking
The integration of the Netherlands-based frozen food business will step up McCain’s position in the European and international global market for frozen vegetable appetizers. McCain believes the deal will allow it to meet ‘growing consumer and customer demand for delicious snacking options’.
“Throughout the pandemic, we saw first-hand increased demand for delicious vegetable appetiser products. There is a strong growth trajectory in the frozen appetiser space in Europe, Great Britain and global markets,” Angelakos told us.
The Canadian company has been actively growing its appetiser portfolio to capitalise on this opportunity. Scelta Products marks the latest in a series of recent investments and acquisitions to expand McCain’s appetizer and snacking offerings. “The Scelta Products acquisition is the latest of a series of investments and acquisitions McCain has made in recent years to expand its product and service offerings; some of these include Ad van Geloven, Pickers, Strong Roots and Forno De Minas,” Angelakos noted.
Adding ‘innovation and capacity’
Scelta Products' plant assets will be integrated into McCain's product network, creating increased production capacity to accelerate global prepared appetiser growth throughout European and international markets.
“McCain has invested in Scelta Products to build on its legacy and add innovation and capacity to strengthen its position as a global leader in prepared appetisers, grow the sector and broaden its offering to consumers around the world,” Angelakos said.
“Acquiring Scelta Products is a growth opportunity for McCain Foods and will help unlock capacity constraints currently faced in Europe. It offers McCain an opportunity to increase production capacity and accelerate our global frozen appetiser business.”
Scelta Products has two facilities currently operating and one under construction in Netherlands. It is headquartered in Kruiningen where it also has a production facility. A second production facility is located in Yerseke and a third is currently under construction in Rilland, which is expected to be completed in early 2023, we were told. “McCain will assume operation of all three Scelta Products production facilities, which creates an opportunity for McCain to accelerate its global frozen appetiser business and grow its presence across other European and international markets.”
McCain stressed that it values the ‘skills, experience and motivation’ of the management and employees of Scelta Products.
"After more than a decade of building a successful business partnership, we are thrilled to officially become part of the McCain Foods family," commented Jos Koster and Wilco Boone, co-founders of Scelta Products.
"Our companies have grown together over the years, and I'm excited to see that continue. In joining forces with McCain, a global leader in prepared appetiser products with similar business values to ours, I am confident that the legacy of Scelta Products' will continue to be built upon."