Bel Group Aims to Create a Major Global Player in Healthy Snacks
Bel Group, the French cheese processor, has acquired a 65% shareholding in MOM Group with the aim of creating a major global player in the healthy snacks segment, based on strong and innovative brands, and very highly complementary product ranges and territories. Under the agreement, Bel will become MOM’s majority shareholder, while MOM’s management will hold the remaining 35%.
The MOM Group, majority owned by private equity firm LBO France since 2010, has achieved rapid business growth in France and the United States. While building on its historical Materne® and Mont Blanc® brands sold in France, the MOM Group has developed the fruit squeezers category and established strong leadership positions with its Pom’Potes® brand in France and its GoGo squeeZ® brand in the United States. Over the past five years, MOM has doubled in size, achieving sales of €362 million in 2015. The company employs 1,300 people and owns four production sites, including two in France and two in the United States.
The transaction provides a unique opportunity for MOM to accelerate its growth supported by Bel’s international presence.
Antoine Fiévet, chairman and chief executive of Bel Group
The deal values the MOM Group at €850 million. The transaction will be financed by Bel’s own financial resources and a €500-million debt issue. The Bel Group’s financial position will remain strong upon completion. A liquidity agreement will allow Bel to acquire 100% of MOM’s share capital by April 2022.
Completion of the deal remains subject to the approval of French and US competition authorities, who are expected to rule by the end of the year.
Antoine Fiévet, chairman and chief executive of Bel Group, says: “This transaction alongside the MOM Group managers represents a historical opportunity for Bel to assert its leadership as a major player in the healthy snacks segment, in line with the directions that we have set for the coming years. At MOM, as at Bel, the strategic relevance of the deal and the range of growth opportunities it creates are clear to everyone. We are all very eager to begin our collaboration and to launch this new growth phase, which is very exciting for all the teams.”
