14th Dec 2015 08:05
LONDON (Alliance News) - Food and farming industry technology and services company Benchmark Holdings PLC on Monday said it has struck a USD342.0 million deal to acquire aquaculture company INVE Aquaculture Holding BV in cash and shares, to be partly-funded by a GBP185.7 million share placing.
Benchmark will pay around USD300.0 million in cash for INVE, with the other USD42.0 million to to covered by the issue of shares. The cash portion will be funded by a GBP185.7 million placing, comprising 215.9 million shares at 86.00 pence per share.
Benchmark shares have been suspended since early October as it held talks with INVE over a reverse takeover, and last traded at 93.00p.
The market capitalisation of the combined company following the admission of the shares will be GBP407.6 million, the group said, doubling Benchmark's current size.
INVE is a Belgium-based manufacturer of advanced nutrition and health products for aquaculture. The deal will boost Benchmark's geographic profile substantially and will add leading positions in the aquaculture nutrition market to Benchmark's existing exposure to genetics and health markets.
The deal will also add another 40 products to the company's pipeline, with no duplication between the businesses.
"The acquisition of INVE makes Benchmark a global leader in the aquaculture technology market overnight. Aquaculture is not only a multi-billion dollar sector but one of the fastest growing in the food industry," said Malcolm Pye, Benchmark's chief executive.
By Sam Unsted; [email protected]; @SamUAtAlliance
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