Valeo Foods Group has agreed a deal to buy Schluckwerder Holding, the specialist producer of confectionery products in Germany and around the world, from German private equity firm Novum Capital.
Following today's deal, Valeo Foods said its annualised revenues will increase to about €1.2 billion.
It said today's purchase will further consolidating its position as a major international food business across its three business units in the UK, Continental Europe and Ireland.
The purchase of Schluckwerder will see revenues at Valeo Foods' European business unit increase to about €283m. Its UK business unit has revenues of over €583m with a further €319m generated in Ireland.
Established in Ireland in 2010, Valeo Foods has expanded significantly in recent years through acquisition-led growth and its brands include Kettle crisps, Rowse honey and Jacob's biscuits.
Schluckwerder was founded in 1956 and its products include the 175-year-old "Lübecker marzipan" brands, Erasmi and Carstens.
These brands, which are produced using higher quality standards than other marzipan-based products, have been distinguished by EU protected geographic designation status since 1996.
The company also produces nougat, chocolate rings, fondant, crocant and praline treats.
Seamus Kearney, Group CEO of Valeo Foods, said that Schluckwerder is a great business that is supported by an extensive team of excellent people and it significantly strengthens Valeo's presence in Continental Europe.
"Its purchase represents the continued realisation of our strategy of building a major international food business where we see further attractive opportunities for expansion," Seamus Kearney said.
He said that Schluckwerder is Valeo's first German acquisition and it expects to further grow its European business unit alongside its existing significant platforms in the UK and Ireland.
"Valeo Foods will continue to focus on targets in categories with stable demand characteristics where we can apply our team's deep experience and expertise to drive sustainable growth," he added.
Today's acquisition is still subject to regulatory approvals.
