has today completed the acquisition of Adrimex SAS, a leading specialised
processor and distributor of high quality shellfish for €21.2 million.
is one of the foremost businesses in the shell fish category in France and an
important player in the fast growing market for processed value added shell
In the year to 30 September 2006, Adrimex’s net sales were
€56.4 million, representing an increase of over 14% against its sales of
the previous year. Underlying
EBITDA for 2006 was €3.35 million implying a transaction multiple of 6.3
times in respect of the enterprise value to EBITDA multiple.
acquisition is financed in full with a loan from the French bank Natixis, which
is a participant in Alfesca’s syndicated bank loans.
be part of Alfesca consolidated accounts as of 19 February and therefore
included in next quarterly financial statements.
Adrimex operates two processing plants on a single
industrial site in Nantes, western France, and employs approximately 120 people
on a full time basis.
the last three years Adrimex has achieved an average growth rate of over 9%
each year by focusing on products based on large warm water prawns and by
developing its range of value added prawn products. Adrimex’s
current product range includes ready to eat and valued added tropical prawns;
prawn brochettes and barbeque trays; prawn rings as well as frozen prawns,
which are all sold in a variety of convenient packaged formats. Approximately 90% of Adrimex’s net
sales relate to tropical prawns, which are largely sold to hyper and super
market retailers in France.
Company’s focus on developing new products has resulted in Adrimex
enjoying strong market share positions
in its key market segments within hyper and super market chains, which include
the important and growing self service wet fish counter and seafood
has also benefited from the fact that its business is aligned with fundamental
consumer trends as prawns have become more popular as a premium product with
more affordable price positioning together with a consumer shift towards
convenience and healthy foods, which are strong attributes of prawn based
Adrimex will also provide Alfesca with a category
leading business with high growth prospects, which will be highly complementary
to Alfesca’s existing Labeyrie and Delpierre brands in France and
increase its sales mix. Under
Alfesca’s ownership, Adrimex will benefit from greater investment and
access to Alfesca’s know how and infrastructure.
will continue to be run by its existing strong management team, led by its
Managing Director, Eric Pinoncely, and will benefit from access to Alfesca's
industrial and commercial know how and routes to market.
plans to operate Adrimex as a strong independent unit close to its market in
line with Alfesca’s business model.
At the same time, the acquisition is still expected to generate
significant synergies through application of sourcing; product development;
branding and commercial know how, as well as administrative resources.
Govare, CEO of Alfesca said:
is an excellent acquisition for Alfesca.
strong position in the shell fish market and good fit with Alfesca’s
existing businesses immediately provides Alfesca with a strong platform to
build up Adrimex’s business in an exciting growth market. Adrimex is complementary to our
businesses in France and the UK and ties in well with the key skills and know
how within the Group.
“The acquisition of Adrimex is also significant
as it is the first strategic acquisition for Alfesca since 2004. Adrimex fulfils all our acquisition
criteria and its addition to the Group will be value enhancing for our
shareholders. Adrimex will
strengthen a core pillar of our business in a key market in a dynamic manner
and will fulfil our financial hurdles; as well as enhance our business mix.
is ideally placed to benefit from the increasing demand for prawn based
products and the combination with Alfesca will accelerate its growth.”
publish its interim financial results for the second quarter of FY2007 (Oct-Dec
2006) on Tuesday 20 February after markets have closed. Alfesca will be hosting a presentation
to investors, market participants and the media at 16:15 on Wednesday 21
February at the Grand Hotel, Reykjavik.
Xavier Govare, CEO T:
+ 354 477 7000 E:
Antony Hovanessian, BDD T:
+ 354 477 7000 E: