CHICAGO — John Bean Technologies (JBT) Corp., a leading supplier of food safety technologies for the food and beverage industry, announced a non-binding proposal on Nov. 24 to purchase fellow food equipment company Marel for approximately $2.6 billion. 

The offer will be subject to regulatory approval along with at least 90% of Marel’s shareholders agreeing to the proposal. A vote by JBT shareholders will also need to occur before the next stage of the negotiation can happen.

“JBT´s non-binding proposal is consistent with the company’s strategic plan and M&A objective of pursuing transactions with strong industrial logic and significant synergy potential while maintaining a strong balance sheet and preserving future strategic flexibility,” the company said in its statement. “JBT’s considerations are at a preliminary stage and there can be no assurance that any formal offer will be made as a result of these considerations.”

According to the proposal in Marel’s release, JBT offered the Icelandic company 3.15 euros per share which includes all Marel shares and current debt. The payment proposal would be 25% in cash and 75% in JBT shares.

The proposal stated that Marel’s shareholders would hold about 36% of JBT’s shares in the potential acquisition.