GARDABAER, ICELAND – Marel announced an agreement to acquire Oberlahr, Germany-based Treif Maschinenbau GmbH. Marel will purchase Treif, all share capital and all relevant business entities, for 128 million euros ($151.4 million) plus 2.9 million Marel shares. The closing is expected by the end of the year following anti-trust approval.

"We are pleased to announce the agreement to acquire German processing equipment provider Treif, a true hidden champion in our industry,” said Árni Oddur Thordarson, chief executive officer of Marel. “With this transaction, two technological leaders with a shared passion for innovation and a vision to transform the way food is processed, join forces.

“We have followed Treif for years and been impressed by their cutting-edge technology, talented team and success in customer engagement, ranging from small shops to leading blue chip international food companies. Together, we are better positioned to meet customer needs in terms of automation, flexibility and time to market for consumer-ready products. Treif’s leading cutting technology is highly complementary to Marel’s existing product portfolio. Treif’s largest business segments today are within meat and baked goods, and we believe their technical capabilities can be cascaded to Marel’s poultry and fish segments and accelerate our innovation roadmap. Treif’s installed base is substantial and by leveraging Marel’s digital platform and global reach with local teams in all key regions, we believe that we can drive further growth and aftermarket potential.”

The acquisition of Treif is in line with Marel’s 2017-2026 growth strategy of a 12% increase in revenues annually.

“There are ample consolidation opportunities in our industry, and Marel has the commitment and capital structure to pursue opportunities that support our ambitious growth target of reaching 3 billion euros in revenues by 2026," Oddur Thordarson said.

Founded in 1948, Treif has annual revenues of over 80 million euros ($94.6 million). The company employs more than 500 people in facilities in Europe, the United States and China.

"I am confident that we have found a great home for Treif’s legacy and secured the long-term success of our leading technology, our customers and our committed employees,” said Uwe Reifenhäuser, CEO of Treif. “My father founded Treif more than 70 years ago with the vision to offer the best possible cutting technology in the meat segment, later expanding into dairy, baked goods and other food segments in need of precise cutting technology. Our passion has always been to deliver innovative, reliable solutions with a strong value proposition. As a result, we have one of the largest food cutting product portfolios and a loyal customer base across both the retail and processing industry.”

Marel employs more than 6,300 people in over 30 countries with 1.3 billion euros ($1.54 billion) in revenue reported in 2019.

“Treif and Marel are a good strategic fit, both from a product and geographical perspective,” Reifenhäuser said. “We have known and respected each other for a long time, and our recent discussions confirm our cultural fit and shared passion for innovation and customer satisfaction. Looking further ahead, the dynamic global food market is evolving towards more complex and digitalized solutions, and our long-standing customers worldwide need qualified local service teams on all continents to keep their operations running at optimal performance. Marel has invested significantly in its global reach and digital platforms, making them an excellent partner in this regard. Our dedicated employees will get the opportunity to join a large international organization that is also the global industry leader in our field."