Black Kassel - Snack like Royalty
Venus Wafers - The Original Mariner Biscut Company - Made simple - Made right
Unilever Deals Spreads Business to Private Equity Firm KKR for $8.1 Billion

Unilever Deals Spreads Business to Private Equity Firm KKR for $8.1 Billion


LONDON, ENGLAND
Friday, December 22nd, 2017

In a move that business news source Bloomberg characterized as a “deal [that] overshadows other buyouts announced this year,” Unilever has agreed to sell its global Spreads business to private equity firm KKR in a transaction valued at €6.825 billion (approximately $8.1 billion USD).

Paul Polman, CEO, Unilever“In April of this year we set out our 2020 program to accelerate sustainable value creation. After a long history in Unilever we decided that the future of the Spreads business would lie outside the Group,” said Unilver CEO Paul Polman, in a press release. “The announcement today marks a further step in reshaping and sharpening our portfolio for long term growth. The consideration recognizes the market leading brands and the improved momentum we have achieved. I am confident that under KKR’s ownership, the Spreads business with its iconic brands will be able to fulfil its full potential as well as societal responsibilities.”

Unilever has agreed to sell its global Spreads business to private equity firm KKR in a transaction valued at €6.825 billion (approximately $8.1 billion USD)

Unilever’s Spreads business, the company noted in its press release, includes major brands like Becel, Flora, Country Crock, Blue Band, I Can’t Believe It’s Not Butter, Rama, and even ProActiv. The Spreads business operates across 66 countries around the world, and in 2016, it had a turnover of €3.032 million ($3.59 million USD), EBITDA of €680 million ($8.06 million USD), and assets totaling €1.108 million ($1.31 million USD). The binding offer tendered by KKR—on a cash-free, debt free basis—will reportedly be funded by both the European and North American private equity funds of KKR.

Johannes Huth, Managing Director, KKR“The strength of the portfolio of consumer brands in Spreads provides a firm foundation for future growth,” added Johannes Huth, Head of KKR EMEA. “We look forward to deploying our global network and operational expertise to support the business’s growth ambitions, while continuing to follow Unilever’s responsible sourcing policies, including working towards the goal of sourcing 100 per cent sustainable palm oil by 2019.”

The offer, subject to certain regulatory approvals and employee consultation in certain jurisdictions, is expected to be approved by mid-2018.

Nicolas Liabeuf, CEO of Unilever’s Spreads business, will continue to lead the business. He added in the company’s press release: “There is a positive momentum in the performance of the Spreads business, and we are excited about continuing this journey with KKR. We are confident that our business and the entrepreneurial spirit of our people will thrive further under new ownership.”

For more important information in the dairy, deli, and bakery industries, stay tuned to Deli Market News.

Unilever


Black Kassel - Snack like RoyaltyVenus Wafers - The Original Mariner Biscut Company - Made simple - Made right

Have a new product, press release or story idea?

Let us know

In This Story


A brighter future: A better business. Unilever has a simple but clear purpose - to make sustainable living commonplace.

Good Food Media Network Releases 2018 Good Food Restaurants™ List

The company releases its annual rating and economic report offering insight into the purchasing practices of chefs and restaurants and their commitment to sustainable sourcing.
View Press Release

Charlotte-Based Hissho Sushi Debuts at Bank of America Stadium for Carolina Panthers’ 2018-2019 Season

The company provides visitors and Panthers fans sophisticated, fresh options like the California Roll, Spicy Tuna Roll, and Crispy Crab Roll.
View Press Release

P3 Named Official Protein Snack of UFC®

UFC® announced a new marketing partnership with Oscar Mayer®.
View Press Release

New Tuscanini Parchment Crackers Bring the Sun-Kissed Taste of Italy to America's Table

Three handmade varieties deliver a sophisticated touch to meals and light snacks.
View Press Release