FDBusiness.com

Royal Unibrew, the Denmark-based beverages group, has completed the acquisition of Etablissements Geyer Fréres for an enterprise value of DKr660 million (€88.5 million) financed by bank debt. The acquisition of Etablissements Geyer Fréres will give Royal Unibrew increased access to the French soft drinks market and will further strengthen its export portfolio. Employing about 100 people, Etablissements Geyer Fréres has production facilities in Munster in the north-eastern part of France and has a significant presence in the retail channels in France and the USA.

Etablissements Geyer Fréres is market-leading in the lemonade category within the off-trade in France holding a market share of about 33%, whereas its presence within the on-trade and convenience sectors is limited. The company exports to about 40 countries on a minor scale, whereas exports to the USA represent a significant part of the business. Overall, exports represent about 40% of the revenue. In 2017, the revenue was DKr290 million and the sales volume amounted to 360,000 HL while earnings margins were at the same level as Royal Unibrew in 2017.

The acquisition is in line with Royal Unibrew’s strategy of being a focused and strong regional beverage provider holding market-leading positions within beverages in the Nordic and Baltic countries supplemented by strong niche positions in selected markets and the international malt beverage markets.