16th Apr 2007 12:34
16 April 2007 - Tate & Lyle PLC Tate & Lyle Announces Investment in European Food Ingredient Group Tate & Lyle, the global renewable ingredients company, today announced thesigning of an agreement to acquire an 80% holding in German specialty foodingredients group G. C. Hahn & Co ("Hahn") for a total cash consideration of £79 million (EUR 116million). The transaction is subject to German antitrust approval and isexpected to be completed by 31 May 2007. Hahn is privately owned and was founded in 1848. Its headquarters and primaryoperations are located in L£beck, Germany. It also has production operations inthe UK, USA and Australia, and sales offices in 22 countries. Hahn is arecognised leader in dairy stabiliser systems and works closely with customersacross the world to develop customised ingredient solutions. Hahn has been acustomer of Tate & Lyle for many years. In the year ended 31 December 2006 thecompany generated sales of EUR 102 million and profit before interest, tax,exceptional items and amortisation of EUR 10 million on net assets of EUR 43million. "The combination of Hahn with Tate & Lyle's existing products, systems andapplications skills will provide our customers with a comprehensive texturantoffering with particular expertise in the dairy and convenience food sectors",said Iain Ferguson, Tate & Lyle's Chief Executive. "This investment complements our existing teams, in particular at CesalpiniaFood and Tate & Lyle Custom Ingredients, and will strengthen our Europeanmarketing presence, opening new opportunities for developing our SPLENDA(R)Sucralose business." The former owner will retain 20% of Hahn. The agreement includes options whichprovide for Tate & Lyle to acquire the outstanding shares in due course. In themeantime, Tate & Lyle will continue to have the support of the founding familyin cementing the partnership between Tate & Lyle and Hahn commenced with thisinvestment. (1) This information has been prepared on a proforma basis under German GAAP andis unaudited. Notes to Editors Tate & Lyle recently announced a EUR 4 million investment to create a new Healthand Wellness centre in Lille. The centre, due to open in September 2007, willinclude laboratories and pilot plant facilities for customers. It will focus ondeveloping new ingredients in the field of wellness and nutrition, catering forbeverage, dairy, bakery, and convenience food. CONTACTS Mark Robinson, Director of Investor Relations Tel: +44(0)20 7626 6525 or Mobile: +44(0)7793 515861 Ferne Hudson, Head of Media and Public Relations Tel: +44(0)20 7626 6525 or Mobile: +44(0)7713 067433 About Tate & Lyle: Tate & Lyle is a world leading manufacturer of renewable foodand industrial ingredients. It uses innovative technology to transform corn,wheat and sugar into value-added ingredients for customers in the food,beverage, pharmaceutical, cosmetic, paper, packaging and building industries. The Company is a leader in cereal sweeteners and starches, sugar refining, valueadded food and industrial ingredients, and citric acid. Tate & Lyle is the worldnumber-one in industrial starches and is the sole manufacturer of SPLENDA(R)Sucralose. Headquartered in London, Tate & Lyle is listed on the London Stock Exchangeunder the symbol TATE.L. In the US its ADRs trade under TATYY. The Companyoperates more than 65 production facilities in 29 countries, throughout Europe,the Americas and South East Asia. It employs 7,000 people in its subsidiarieswith a further 4,800 employed in joint ventures. Sales in the year to 31 March2006 totalled £3.7 billion. Additional information can be found on this websitewww.tateandlyle.com. SPLENDA(R) is a trademark of McNeil Nutritionals, LLC Copyright Business Wire 2007Related Shares:
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