LONDON (ShareCast) - (Sharecast News) - Irish food company Kerry Group said on Monday that it has agreed to buy preservatives maker Niacet for €853m.

Kerry, which is buying the business from an affiliate of funds advised by SK Capital and other shareholders, said Niacet has clear leadership positions in bakery and pharma, and cost-effective low-sodium preservation systems for meat and plant-based food across both conventional and clean label solutions.

For the year ended 31 December 2021, Niacet is expected to have pro-forma annualised revenue of around $220m and earnings before interest, tax and depreciation of approximately $66m.

Following the acquisition, Niacet will be integrated into Kerry's global food protection and preservation platform.

Chief executive officer Edmond Scanlon said: "The acquisition of Niacet's complementary product portfolio enhances our leadership position in the fast growing food protection and preservation market and significantly advances our sustainable nutrition ambition.

"Niacet is a business with market leading positions, differentiated technologies and a strong and highly experienced management team. We are pleased to welcome the Niacet team to Kerry and we are excited at the potential the combination of our two businesses offers to outperform in this important and attractive market."

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