Nomad Foods, the company behind Iglo and Belviva among others, is in exclusive negotiations with Fortenova Group to acquire Frozen Food Business Group (FFBG).
Strengthening position in growth markets
FFBG has an extensive portfolio of frozen food brands, including Ledo and Frikom. The company is particularly strong in countries like Croatia, Serbia and Bosnia & Herzegovina, reports FoodManufacture. The group sells just about every possible frozen product: fish, vegetables, fruit, ready meals, cakes and ice cream.
Through the takeover, Nomad Foods could considerably strengthen its position in Central and Eastern Europe. At the same time, it could be a stepping stone to future acquisitions in the region. According to the company, negotiations are still in its early stages. There is no guarantee the deal will be finalised.
Nomad Foods is led by Belgian director Stéfan Descheemaeker. In an interview with Belgian business newspaper De Tijd a few years ago, he stated he intended to turn the company into a food giant. The most important brands of the group include Birds Eye, Iglo and Belviva, formerly known as Lutosa. At the end of last year, Nomad Foods acquired the Swiss branch of Findus for 110 million euros. The remainder of Findus got bought previously, in 2015.
After the Findus deal in 2015, Nomad raised another 300 million euros for new acquisitions. By buying Findus Switzerland, Nomad spent a good portion of that money. It is unclear how much this potential deal is worth.