Aryzta rejects Elliott's € 734 million offer
The Group will sell business units in North America and Latin America
Swiss based Aryzta Group has rejected a € 734 million acquisition offer from the US investment firm Elliott and has announced its intention to sell its business units in North America and Latin America. Earlier this month, the company officially announced Elliott's offer to acquire the Group, as part of its restructuring and streamlining plan.
The unanimous decision of the board of directors not to enter into a settlement agreement was made after careful consideration in line with fiduciary duties and in the interest of all interested parties. Aryzta says her business plan to get back on track is already underway; it prepares to divest selective assets and improve the performance of remaining units.
The group intends to focus on the European and Apac markets. The announcement also follows Aryzta's recent sale of the North American pizza takeaway unit to private equity firm Brynwood Partners. The company's recent moves are aimed at securing enough proceeds to significantly reduce debt levels over the next six to nine months. By the end of 2021, Aryzta expects to achieve a reduction of at least 25% in central overhead costs by moving to a lean, more agile, multi-local business model.
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