ST. ALBANS, HERFORDSHIRE – Mizkan has entered into an agreement to buy the sweet pickles and table sauces business units of Premier Foods for £92.5 million ($148.7 million). The transaction will include the company’s Branston sweet pickle, ketchup, relish, salad cream and mayonnaise product lines as well as Premier’s Bury St. Edmunds plant in Suffolk. The transaction is expected to be concluded in early 2013.
“Branston Sweet Pickle is an iconic brand that has established a market leading position,” said Kazuhide Matazaemon Nakano VIII, chief executive officer of Mizkan. “The Branston brand is also an excellent strategic fit with our global portfolio and adds to our solid foundation for growth in the U.K.”
As part of the agreement, Premier Foods and Mizkan also have entered into a co-packing arrangement in which Mizkan will manufacture certain cooking sauces and other products at the Bury St Edmunds plant for the next 15 years.This is the second time Mizkan has acquired a business unit of Premier Foods. In July 2012, Mizkan acquired Premier’s vinegar and sour pickles business for £41 million. That transaction included the Sarson’s, Haywards and Dufrais brands.