Lenders are supposedly targeting PE companies and trade accounts as prospectivepurchasers McCain Foods, the french fries maker headquartered in Canada, has put its Sara Lee frozen baked products and desserts business in Australia on the market.
The Australian unit of French financial investment bank Rothschild & & Co. has actually been worked with to auction off Sara Lee, a spokesperson for McCain verified to just-food today (14 October). The company is targeting local private-equity companies and food makers as possible purchasers, The Australian Financial Evaluation (AFR) reported, pointing out a document sent to potential celebrations.
Sara Lee’s efficiency throughout the coronavirus pandemic has actually supposedly been flagged as a key selling point in terms of sales and earnings in its newest monetary year, with Rothschild explaining the business owns the “biggest bakery and dessert facility in Australia” outside Sydney, AFR mentioned the document as stating.
McCain acquired the Sara Lee bakery service in Australia and New Zealand at the back end of 2012 for AUD82m (US$ 85m at the time) when it was divided in two– meat and bakeshop and desserts.
Tyson Foods then went on to own the Sara Lee possessions in the US after it acquired meat group Hillshire Brands in 2014. But Tyson offered those assets to private financier Kohlberg & & Business in 2018.
The representative said McCain had invested “highly” in development at Sara Lee and its production plant in Lisarow, New South Wales, consisting of AUD40m to enhance the website’s abilities with a brand-new pastry production line.
“McCain has actually been approached relating to the opportunity to obtain the Sara Lee organization,” a statement checked out. “While at this moment no choice has been made, it is sensible for McCain to explore alternative alternatives for the special Sara Lee portfolio, as driving synergies and new worth with our core potato organization in retail and foodservice continues to be an obstacle and a necessary focus.
“McCain is dealing with Rothchild & & Co to review the market opportunity to determine the very best and most sustainable result for McCain and Sara Lee.”
Sara Lee’s Sydney plant is only operating at around 50% of its capacity, leaving space for expansion under a new owner, the AFR said, adding that the lenders have actually called for a sign bids by the end of October.
McCain said Sara Lee has control of more than 50% of the Australian and New Zealand retail frozen desserts market.
Released at Wed, 14 Oct 2020 07:30:00 +0000Copyright 2019 RDM International. All rights reserved.