Expansion Maple Leaf to aquire Viau Foods

by Editor fleischwirtschaft.com

Thursday, October 04, 2018

Photo: Viau

Established in 1977, Viau produces a range of value-added prepared meat products including Italian cooked meats, sausages, pizza toppings, shaved steak and meatballs, and cooked and dry-cured pepperoni.

fleischwirtschaft.com — CANADA, Mississauga, On. Maple Leaf Foods Inc. announced that it has signed a definitive agreement to acquire Viau Foods, a Canadian market leader in premium Italian cooked, dry-cured and charcuterie meats for a purchase price of $215 mill., including $30 mill. in Maple Leaf stock. With sales of $180 mill. over the last twelve months, the transaction is expected to be accretive to Maple Leaf's earnings per share in the first year and to the Company's margin expansion over time.

Established in 1977, Viau produces a range of value-added prepared meat products including Italian cooked meats, sausages, pizza toppings, shaved steak and meatballs, and is the Canadian market leader in cooked and dry-cured pepperoni. It also produces a range of gourmet deli and premium charcuterie products including salametti, capicollo, pancetta and sliced chorizo. The company is a leading supplier of dried pepperoni and other pizza toppings to the North American foodservice industry and markets its products through retailers across Canada.

It employs 470 people at its two Hazard Analysis Critical Control Point (HACCP), United States Department of Agriculture (USDA) and Safe Quality Food (SQF) accredited facilities in Laval and Montreal. It follows leading food safety practices, supported by an on-site ISO accredited laboratory. The business will continue to be led by the current highly experienced management team.

The transaction will be financed through a combination of cash-on-hand and drawings under Maple Leaf's existing credit facility and is expected to close in December, subject to regulatory review.

Source: Maple Leaf Foods