Ardo and Dujardin Foods Sign Merger Agreement
31 Mar 2014 --- Ardo and Dujardin Foods have reported the signing of a Merger Agreement. The two Belgian frozen food companies, started independently by two brothers 40 years ago, are preparing to come together as one firm, subject to approval by the relevant competition authorities. As part of the transaction, NPM Capital, a private equity firm which held a minority stake in Dujardin Foods is selling its stake. In the new Group 100% of the shares will be owned by the Haspeslagh families.
The rationale behind the planned merger is to create a robust working platform that enables the business to operate sustainably in the frozen vegetable, fruit and herb sector for years to come, and to lay the basis for a third-generation, professionally-managed family business.
Both organisations will continue to operate independently, led by Jan Haspeslagh for Ardo, and Rik Jacob for Dujardin Foods, whilst the integration planning is undertaken. The future Board, chaired by Philippe Haspeslagh, will consist of family representatives and two independent directors. The new group will take the name Ardo.
The merger of the two like-minded companies will optimise all available synergies, including complementary areas of business, to maintain market positions and competiveness. Following the initial period, transitional changes will be managed to ensure that goods, services and customer relations are maintained and/or improved. The new structure will be designed to respond to the demands of the market and to strengthen relationships with partners in the retail, food service and food industry markets.
Jan Haspeslagh, CEO of Ardo: “Joining two complementary companies, where the owners are already closely related, is a natural step that prepares us for the future and ensures that the business remains family-owned. With our similar approach to business and common desire to combine entrepreneurship and professionalism, I am confident that we will create a cohesive company. This announcement is excellent news for all stakeholders.”
Rik Jacob, CEO of Dujardin Foods, comments on the merger decision as follows: “The new Ardo will be an even greater company with a unique European footprint of large scale, specialised plants, sound agricultural expertise, professional management and an entrepreneurial attitude.”
Philippe Haspeslagh who will chair the Board, and who is also a leading academic specialised in mergers and acquisitions, adds: “We are committed to creating further professional opportunities for our combined management teams whilst sustaining the family business for the next generation. At shareholder level this signifies the coming together of seven cousins, with clear roles for the family, the Board and the management.”
Ardo began its activities in the world of vegetables in the 1950s, growing and trading vegetables at the family farm near the village of Ardooie, Belgium. Venturing into freezing in the 1970s, Ardo has developed its production and sales of frozen vegetables throughout Europe. Today, Ardo operates 15 production, packing and distribution units in eight European countries, and employs around 3,000 people. In 2013 Ardo grew, froze and sold 611,000 tonnes of vegetables and fruit worldwide, with a net consolidated turnover of €607 million.
Dujardin Foods is a specialised manufacturer and supplier of fresh frozen vegetables, aromatic herbs, ingredients and ready-to-eat meals. The company employs around 800 staff, sells approximately 200,000 tonnes and has a turnover of €213 million. Dujardin Foods focusses on the international retail, industrial and foodservice markets.
Dujardin Foods is based in Ardooie-Koolskamp, Belgium and has five production sites located in Belgium, France, and the UK.
