Plesner Advise Solina in Acquisition of Paulig Flavours Division
Tina Kang
– M&A advisor to Solina
Solina Group (“Solina”) has signed a binding agreement to acquire from Paulig its INDUSTRIAL FLAVOURING DIVISION. Paulig Group (“Paulig”) is the selling majority shareholder. The IFD management will join Solina Group. Paulig’s Industrial Flavouring Division is the Nordic Market leader in the field of taste products for meat industry.
Outstanding producer and supplier of blends, spices, herbs, marinades and functional ingredients to the Food Industry, Paulig’s Industrial Flavouring Division has developed long term relationships with the Nordic blue chips Meat, Prepared Meals and Snacks producers. During the past years, Paulig’s Industrial Flavouring Division has developed a strong leadership in the area, with an efficient organization based on Sales, R&D and Marketing teams in Finland, Sweden, Norway and the Baltic states. Its production center is based in Estonia offering a fast track delivery service to all customers.
Today, the company has around 150 employees with headquarters in Helsinki, Finland and sales/R&D office in Göteborg, Sweden and Oslo, Norway. Eric Terré, CEO, Solina Group, said: “The Industrial Flavouring Division of Paulig perfectly fits our North European organization – The Company is highly recognized for its service level and products quality and we’re looking forward to working with the management team and the organization.
The Industrial Flavouring Division will benefit from the existing Solina’s Meat R&D platform as well as the Group’s structure for international development”. Through the acquisition of Paulig’s Industrial Flavouring Division Solina Group is increasing its presence in Nordic countries and in Russia. Solina’s ambition is to complete its fast growing network of local service operations in the region and develop a leading edge integrated service for Key Customers in Europe and Eastern countries. Strengthening its local R&D and strong Master Labs structure in France, Belgium and Denmark, Solina Group ‘creates solutions for tomorrow’s food’. “Solina expands in Western Europe within its three core businesses: Service to Meat Industry, Service to the Culinary and Snack Industries and Service to Professionals.
Paulig’s Industrial Flavouring Division represents a perfect strategic match for Solina Group in expansion process. Customers of both Solina and Paulig’s Industrial Flavouring Division will benefit from an extended service platform and more R&D and innovation investments. The group will offer the widest range of products in savoury businesses in Europe”, added Eric Terré. Jaana Tuominen, CEO of Paulig Group added : “As part of the Solina Group’s the Industrial Flavouring Division now has an even greater possibility to proceed with its growth strategy outside the Nordic countries. We believe this is a very good home for the business.
For Paulig Group, the transaction means that we will focus on consumer goods and foodservice operations within the coffee, international food concepts, spices and snack food categories. We have also entered the natural health food category with the acquisition of Risenta AB earlier this year and we will continue to develop this business, she concludes”. Closing of the transaction was on the April 7th, 2015. The parties have agreed not to disclose the transaction value.