Marel is pleased to announce an agreement to acquire German food cutting technology provider
About TREIF
TREIF, a family-owned business headquartered in Oberlahr,
A shared passion for innovation and partnership with customers
TREIF is a great addition to Marel, strengthening the full-line product offering, increasing standard equipment sales and leveraging aftermarket potential with Marel’s extensive global reach and local services in all regions. Like Marel, TREIF is highly focused on innovation and cutting-edge technology, backed by an experienced and committed team and long-standing partnerships with customers. TREIF’s product portfolio in the cutting segment, portioning, dicing and slicing is highly complementary with Marel’s product portfolio. The transaction will enhance Marel’s full-line offering for the meat industry, as well as its other segments focused on improving automation, food safety and flexibility for consumer-ready product offerings. United, the two companies are in a stronger position to drive further growth, providing better value for both current and future customers.
Transaction highlights and timeline
Marel has agreed to acquire the entire share capital of
The acquisition will be financed through Marel’s strong balance sheet, existing credit facilities and available treasury shares that Mr. Uwe Reifenhäuser, current owner and CEO, will hold with a lock-up period of 18 months. Pro forma leverage following completion of the acquisition is estimated to be 1.2xnet debt/EBITDA, compared to 0.6x at the end of 2Q 2020 and the targeted capital structure of 2-3x net debt/EBITDA. The acquisition is fully in line with Marel´s previously announced 2017-2026 growth strategy, of 12% average annual increase in revenues through a balanced mix of organic and acquired growth.
Árni
"We are pleased to announce the agreement to acquire German processing equipment provider TREIF, a true hidden champion in our industry. With this transaction, two technological leaders with a shared passion for innovation and a vision to transform the way food is processed, join forces.
We have followed TREIF for years and been impressed by their cutting-edge technology, talented team and success in customer engagement, ranging from small shops to leading blue chip international food companies. Together, we are better positioned to meet customer needs in terms of automation, flexibility and time to market for consumer-ready products. TREIF’s leading cutting technology is highly complementary to Marel’s existing product portfolio. TREIF’s largest business segments today are within meat and baked goods, and we believe their technical capabilities can be cascaded to Marel’s poultry and fish segments and accelerate our innovation roadmap. TREIF’s installed base is substantial and by leveraging Marel’s digital platform and global reach with local teams in all key regions, we believe that we can drive further growth and aftermarket potential.
The acquisition of TREIF is in line with our 2017-2026 growth strategy. There are ample consolidation opportunities in our industry, and Marel has the commitment and capital structure to pursue opportunities that support our ambitious growth target of reaching
Uwe Reifenhäuser, CEO of TREIF, commented:
"I am confident that we have found a great home for TREIF’s legacy and secured the long-term success of our leading technology, our customers and our committed employees. My father founded TREIF more than 70 years ago with the vision to offer the best possible cutting technology in the meat segment, later expanding into dairy, baked goods and other food segments in need of precise cutting technology. Our passion has always been to deliver innovative, reliable solutions with a strong value proposition. As a result we have one of the largest food cutting product portfolio and a loyal customer base across both the retail and processing industry.
TREIF and Marel are a good strategic fit, both from a product and geographical perspective. We have known and respected each other for a long time, and our recent discussions confirm our cultural fit and shared passion for innovation and customer satisfaction. Looking further ahead, the dynamic global food market is evolving towards more complex and digitalized solutions, and our long-standing customers worldwide need qualified local service teams on all continents to keep their operations running at optimal performance. Marel has invested significantly in its global reach and digital platforms, making them an excellent partner in this regard. Our dedicated employees will get the opportunity to join a large international organization that is also the global industry leader in our field."
For further information, please contact:
Marel Investor Relations
Tinna Molphy
IR@marel.com and tel. + 354 563 8001.
Marel Media Relations
International: FTI Consulting, Alex Le May, marel@fticonsulting.com and tel. +4420 3727 1340.
About Marel
Marel (NASDAQ: MAREL; AEX: MAREL) is a leading global provider of advanced food processing equipment, systems, software and services to the poultry, meat and fish industries. Our united team of more than 6,300 employees in over 30 countries delivered
About Treif
TREIF is a family owned business headquartered in Oberlahr,
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