VANCOUVER, BC, Dec. 30,
2024 /CNW/ - December
30, 2024. Premium Brands Holdings Corporation (TSX:
PBH), a leading producer, marketer and distributor of branded
specialty food products, announced today that it has completed the
following strategic transactions:
- The acquisition of NSP Quality Meats (NSP), a cooked protein
and deli meats manufacturer with plants located in Oklahoma, Texas and Missouri
- The acquisition of Casa Di Bertacchi (Casa), a manufacturer of
branded and private label cooked protein products with a plant in
New Jersey
- The acquisition of Italia Salami (Italia), a manufacturer of
authentic dry cured Italian salami with a plant in Ontario
- The sale and leaseback of the Company's recently expanded
Hempler's deli meats production facility in Washington resulting in gross proceeds of
approximately US$68.0 million
The total purchase price for the NSP, Casa and Italia
businesses, which have combined annual sales of approximately
US$200 million, was US$66.0 million consisting of US$50.0 million in cash, US$10.0 million in the Company's common shares
and contingent consideration of US$6.0
million. All three transactions are expected to be accretive
to the Company's 2025 earnings per share.
"We are very pleased to welcome NSP, Casa and Italia into our
ecosystem and to be partnering with the management teams of these
well-known and long-established businesses," said Mr. George Paleologou, President and CEO of Premium
Brands.
"NSP and Casa will play major roles in supporting the continued
growth of our market-leading branded cooked protein initiatives in
the U.S. by providing much needed capacity and improving our access
to additional key U.S. markets. In addition, these businesses
will significantly enhance our Specialty Foods Group's ability to
largely mitigate any potential border and tariff related risks.
"Italia is a smaller acquisition but provides our Concord business with much needed local
production capacity to help support their very successful
Marcangelo branded Italian charcuterie offerings," added Mr.
Paleologou.
ABOUT PREMIUM BRANDS
Premium Brands owns a broad range of leading specialty food
manufacturing and differentiated food distribution businesses with
operations across Canada and
the United States.
www.premiumbrandsholdings.com
Forward Looking Statements
This press release contains forward looking statements with
respect to the Company, including, without limitation, statements
regarding its business operations, strategy and financial
performance and condition, cash distributions, proposed
acquisitions, budgets, projected costs and plans and objectives of
or involving the Company. While management believes that the
expectations reflected in such forward looking statements are
reasonable and represent the Company's internal expectations and
belief as of December 30, 2024, there
can be no assurance that such expectations will prove to be correct
as such forward looking statements involve unknown risks and
uncertainties beyond the Company's control which may cause its
actual performance and results in future periods to differ
materially from any estimates or projections of future performance
or results expressed or implied by such forward looking
statements.
Forward looking statements generally can be identified by the
use of the words "may", "could", "should", "would", "will",
"expect", "intend", "plan", "estimate", "project", "anticipate",
"believe" or "continue", or the negative thereof or similar
variations. Forward looking statements in this press release
include statements with respect to the Company's expectation that
the transactions will be accretive to the Company's 2025 earnings
per share and will mitigate any potential border and tariff related
risks.
Some of the factors that could cause actual results to differ
materially from the Company's expectations are referenced in the
Risks and Uncertainties section in the Company's MD&A
for the 13 and 39 Weeks ended September 28,
2024.
Assumptions used by the Company to develop forward looking
statements contained or incorporated by reference in this press
release are based on information currently available to it and
include those outlined below as well as those outlined elsewhere in
this document. Readers are cautioned that this information is not
exhaustive.
SOURCE Premium Brands Holdings Corporation