The intended transaction would include the acquisition of all seven of the pastry ingredients business Unifine's manufacturing sites, 10 sales offices in Europe and the brands of Sucrea, Fruibel, Caullet and Dethmers.
"We see this as a very positive move," Simon Solway, MD of Unifine F&Bi UK told British Baker. "Unifine has gone from strength to strength in the past 10 years by doing all the right things where it matters to our customers. This has created a highly saleable business, and acquisition by Dawn Foods makes perfect sense if we want to have a greater presence in the European marketplace."
US-based bakery manufacturer and ingredients supplier Dawn Foods said the intended acquisition would provide significant benefits to both businesses. Dawn Foods president of global commercial and international Laurence Saul told British Baker: "Our foundation 90 years ago was in bakery ingredients, then mixes, which is very complementary to the way Unifine will fit our business. This intended acquisition will provide our team, customers, joint venture partners and suppliers with global market access through the Dawn Foods family network and enable long-term growth opportunities."
Robert P Smith, president and CEO of Netherlands-based Royal Cosun, explained the firm decided to divest its fine bakery operations "as these do not fit in our core strategic focus which is on the processing of arable crops".
Subject to approval, the transaction is due to be concluded in the second quarter of 2011.