Nomad Foods is set to acquire the Aunt Bessie’s brand from William Jackson & Son Limited for approximately £210m.
Aunt Bessie’s manufactures, distributes and sells a range of branded frozen food products.
The brand holds number one and number two market share positions, respectively, within frozen Yorkshire puddings and frozen potatoes, which combine to represent the majority of its revenues.
The acquisition includes a production facility in Hull, England.
Commenting on the transaction, Stefan Descheemaeker, Nomad Foods’ chief executive officer said, “We are excited to welcome Aunt Bessie’s to Nomad Foods. It’s an iconic brand, positive values and strong product credentials align well with our existing portfolio.
“As our second accretive acquisition in 2018, Aunt Bessie’s represents another step toward our goal of transforming the frozen food category and building a portfolio of best-in-class food brands. Aunt Bessie’s significantly expands our presence within potatoes, one of the largest categories in frozen food, while adding another dimension to our growing portfolio in the United Kingdom.”
The acquisition of the group is also expected to further develop Nomad Foods’ portfolio in the United Kingdom, a strategically important market.
The combination of Aunt Bessie’s, Birds Eye and recently acquired Goodfella’s is expected to result in a highly complementary portfolio with significantly enhanced scale, greater diversification and more resources to accelerate category growth.
Noam Gottesman, Nomad Foods’ co-chairman and founder, commented, “This acquisition illustrates the power of our value creation model which is fueled by organic revenue growth, strong free cash flow and disciplined M&A. Similar to Goodfella’s Pizza, which we acquired earlier this year, Aunt Bessie’s is expected to be immediately accretive to earnings while providing complementary category exposure, synergy opportunities and new avenues for growth.
“We look forward to welcoming the team to our organization and working together to build on their success.”