Glanbia agrees to acquire "thinkThin®" for $217m

RNS Number : 7590F

Glanbia PLC

16 November 2015

 

Glanbia agrees to acquire "thinkThin®" for $217 million

16 November 2015, Glanbia plc is pleased to announce that it has agreed to acquire thinkThin, LLC ("thinkThin") for a cash consideration of $217 million (the "Transaction").

thinkThin has a leading range of protein enriched bars targeted at lifestyle consumers looking for wholesome, convenient and delicious snacks. thinkThin primarily distributes its products in food, natural and mass retail channels in the US.  Net sales for the twelve months to the end of September 2015 were $84 million, with a compound average growth rate for the previous three years of 31%.

Commenting today, Siobhán Talbot, Glanbia Group Managing Director said: "I am very pleased to announce that we have reached agreement to acquire thinkThin.  As a premium lifestyle nutrition product with very strong brand equity, thinkThin represents an excellent strategic addition to our portfolio of market leading performance nutrition brands. The transaction is firmly aligned with our overall growth ambitions and positions us well in the fast growing nutrition bar category as well as being value enhancing for our shareholders."

thinkThin will increase Glanbia Performance Nutrition's ("GPN") presence in the bar category and provide exposure to the rapidly expanding nutrition bar segment which is currently valued at $2.8 billion in US retail.  In addition, thinkThin provides a great platform for GPN to enter the "better for you" snack products category as well as augment the GPN brand portfolio in its existing channels.

It is anticipated that the Transaction will complete prior to the end of the 2015 financial year subject to the customary completion conditions and regulatory approval.

The Transaction will be marginally earnings accretive in 2016 and will be funded by debt from existing facilities.

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For further information, please contact:

Glanbia plc [phone]

Mark Garvey, Group Finance Director

Liam Hennigan, Head of Investor Relations - [phone]

Martha Kavanagh, Head of Media Relations - [phone]

About thinkThin

thinkThin is based in Los Angeles, California, US and was founded in 1999 by Lizanne Falsetto who wanted to create a range of delicious, high protein products that deliver on great taste and a "better for you" alternative to snacks. The thinkThin range has expanded to include a portfolio of high protein and protein & fibre bars as well as recent launches which include protein bites and protein & fibre hot oatmeal. thinkThin products are distributed in a range of well-known US food, drug and mass retailers.  TSG Consumer Partners, a leading investor in the branded consumer sector, acquired a majority stake in thinkThin in December 2011.

About Glanbia plc

Glanbia is a global nutrition company, grounded in science and nature and dedicated to providing better nutrition for every step of life's journey.

Glanbia actively serves the nutritional needs of consumers directly through a range of branded products and as an ingredient partner to the wider food industry.

Glanbia has deep roots in the dairy industry and has become the world's leading producer and marketer of quality performance nutrition products supporting active lifestyles. Its success as a global ingredients provider has been built on Glanbia's expertise in nutritional solutions supported by significant investment in research and development.

With a turnover of over €3.5 billion per annum, almost 6,000 employees and a presence in 34 countries worldwide, Glanbia's vision is to be one of the world's top performing nutrition companies, trusted to enrich lives every day.

 

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