Newlat and its group will become the 'New Princes Group'.
Italian-based Newlat Food S.p.A is planning to acquire the International food and drink group Princes from Mitsubishi Corporation encompassing all current operations and brands in an agreement valued at £700 million (€822M).
After the completion, Newlat and its group will become the 'New Princes Group'. Princes Limited will keep its identity and operate as a UK-based subsidiary of the New Princes Group.
Regarding the possible acquisition, Princess Chief Executive Officer Simon Harrison said: "This is an exciting prospect for Princes, and we are delighted that Newlat shares our confidence in the Group’s strategic growth plans, brand strategy, operational excellence, and people culture. The intended sale remains an ongoing process and further information will be shared in due course."
The merger of these two companies would result in revenues of approximately €2.8 billion and an adjusted EBITDA of approximately €190 million, becoming a leading group in the European food industry.
Furthermore, the management is confident that the turnover will increase to €5 billion by 2030.
Newlat is an international agro-food group with a strong heritage, producing and distributing dairy, baby food, pasta, bakery, gluten free, instant hot snacks and other specialty food products mainly under its own brands as well as private label.
The group has operations in 4 countries, namely Italy, U.K., Germany and France, through its subsidiaries Centrale del Latte d’Italia, Symington’s, Newlat GmbH, and EM Foods. Newlat Food S.p.A and its subsidiary Centrale del Latte d’Italia are both listed on the Milan Stock Exchange.
Mitsubishi Corporation has a wide range of businesses spanning multiple industries: natural gas, industrial materials, petroleum and chemical solutions, mineral resources, industrial infrastructure, automotive and mobility, food industry, consumer industry, energy solutions, and urban development.
Mitsubishi partnered with the aquaculture company focused on sustainability and carbon emissions reduction Urchinomics, led by Brian Tsuyoshi Takeda.