PZ Cussons buys-out Glanbia stake in Nutricima Joint Venture
PZ Cussons Plc, makers of Nunu, Olympic and Yo brands announced that it has acquired the remaining 50 percent stake held by Glanbia in the Nutricima joint venture between both companies.
It paid £21 million in cash, giving PZ Cussons complete ownership of Nutricima. PZ Cussons has also entered into a new long-term agreement with Glanbia Ingredients Ireland for the supply of milk-based products to Nutricima.
The joint venture between PZ Cussons and Glanbia was originally formed in 2003, where they agreed to build a facility in Nigeria to supply evaporated milk and milk powder to the Nigerian market.
A second facility for the manufacture of UHT products was opened in 2009.
In the last 10 years, Nutricima has developed a wide range of market leading brands, such as Nunu, Olympic and Yo.
As a result of the purchase, these brands will be further developed by PZ Cussons.
The revenue from the joint-venture EBITDA and Profit before Tax (PAT) for FY ended May 31, 2014 were £74.4 million, £3.2 million and £1.3 million respectively.
Assets stood at £57.9 million.
Alex Kanellis, Chief Executive Officer of PZ Cussons, said: “We are pleased to have taken full control of Nutricima. PZ Cussons is committed to the long term growth of the business and looks forward to the continued strengthening and development of its brands. We are also pleased to have entered into a new agreement with Glanbia Ingredients Ireland, which ensures continuing supply of both existing and innovative new products.
“Following the buy-out, our balance sheet remains strong, giving us the capacity to take advantage of further investments opportunities as they arise.”