AAK buys oils and fats supplier in Turkey from Unilever
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KARLSHAMN, SWEDEN — AAK has acquired Unipro, a supplier of oils and fats to the industrial and bakery markets in Turkey and the surrounding region, from Unilever. The acquisition includes 10 brands, a management and sales organization, and the Unipro company name for bakery and industrial fats. Based in Istanbul, Turkey, Unipro had revenues of about SEK 700 million ($108 million) in 2012.
The transaction does not include Unilever’s facility in Corlu, Turkey. The factory there will continue to manufacture for AAK under a third-party agreement. AAK has entered into a five-year toll manufacturing agreement with Unilever relating to the supply of Unipro products.
“This acquisition is an integral part of AAK Acceleration (a company program) and adds presence in areas which are identified as strategically important,” said Arne Frank, president and chief executive officer of Karlshamn-based AAK Group. “This acquisition will serve as a platform for increased AAK sales of semi-specialty and specialty products in Turkey and the Middle East.”
AAK expects the transaction, which is subject to approval by the competition authorities, to have a limited impact on the company’s 2013 operating profit. Unilever, based in London, said divesting its Turkish oil business is in line with its global strategy to exit non-core business.