Marel completes MPS acquisition
Feb. 2, 2016
by MEAT+POULTRY Staff
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GARDABAER, Iceland – Marel recently closed its acquisition of MPS meat processing systems. The purchase price was €382 million on a debt and cash-free basis.
The transaction calls for existing MPS shareholders, including MPS management, to invest approximately €16 million of their proceeds in Marel shares with a lock-up period of 18 months from the date of closing. The number of shares they acquire is 10.8 million for the price of 213 ISK per share or equivalent to €1.51 per share, Marel said.
Marel said the acquisition elevates both companies to the forefront of developing full-line solutions and equipment for the meat processing industry. The merger also creates a strong foundation for future growth.
“The MPS acquisition enhances Marel’s position as a leading global provider of advanced systems and solutions to the poultry, meat and fish industries and is fully in line with the company’s previously announced growth strategy,” Marel said. “This step will contribute to a more balanced revenue split between industry segments and geographies. On a pro-forma basis Marel’s meat segment will now contribute to approximately 30 percent of revenue and EBITDA of Marel.”