Belgian private equity firms GIMV and LRM have acquired Scana Noliko International (SNI), a producer of bottled and canned vegetables and fruits, pasta and sauces, from Benelux venture capital house NeSBIC.
GIMV and LRM, along with Scana Noliko’s management, have purchased NeSBIC’s 45.4% stake for €17.3m. Including debts, the total transaction value is over €78m.
The remaining shareholders now have to decide whether to hold onto their shares or sell or exchange them, subject to approval by the Belgian Banking, Finance and Assurance Commission.
The price per share offered is €1.9167. Existing shareholders opting to exchange their shares will receive one share in the newco Scana Noliko Holding (SNH), one bond worth €0.6806 and €0.5555 in cash for each SNI share.
LRM and GIMV will continue to hold an equal percentage of shares in SNH, between 44% and 48% depending upon the decision of the remaining shareholders. Remaining shares will be held by management and by those SNI shareholders who opt for the exchange offer.
In June 2000 Swiss majority shareholders Scana Holding AG sold the company to the management team and LRM and NeSBIC.
LRM and NeSBIC bought the company in 2000 when each acquired 45.4% in SNI from Scana Holding AG for approximately €9m each. The remaining shares were retained by employees and farmers with historic ties with the group.
The GIMV investment is going to be done on the balance sheet, not a closed-end fund but an evergreen structure (proceeds from divestments are being used for new investments) listed on the Euronext stock exchange.
Limburg Investment Company (LRM), which is owned entirely by the Flemish government, invested from its €260m LRM Investment Fund
The NeSBIC investment came from its €95m NeSBIC Investment Fund II, which specialises in providing growth capital to mid- to late-stage companies.
Scana Noliko is headquartered in Bree in Belgium. Scana Noliko has increased its turnover by more than 40% over the past five years. Turnover last year was in excess of €110m, earning the company an after-tax profit of €4.3m. The group employs more than 460 people.