Middleby completes acquisition of Taylor Company for $1bn

US-based food processing equipment manufacturer Middleby has completed the acquisition of the Taylor Company from UTC Climate, Controls & Security for $1bn.

Middleby initially entered an agreement to acquire Taylor Company from UTC Climate, Controls & Security on 18 May.

The Taylor Company is headquartered in Rockton, Illinois, and primarily manufactures soft serve and ice cream dispensing equipment, frozen drink machines and automated double-sided grills.

During the signing of the definitive agreement with UTC Climate, Controls & Security, Middleby chairman and CEO Selim Bassoul said: “The acquisition of Taylor is highly strategic for Middleby and bolsters Middleby’s overall position as an industry leader in commercial foodservice.

“Taylor is a unique and premium brand in the commercial foodservice industry with leading positions in beverage, frozen dessert and grilling that are highly complementary to our existing offerings.

“Taylor products are well represented across the top restaurant chains and have a significant presence across all foodservice segments, including quick serve, casual dining, retail, convenience stores and institutional food service establishments.”

Middleby announced last month that it would leverage its existing revolving credit facility to complete the all-cash acquisition transaction.

The company plans to use Taylor’s automated double-sided grill to expand its cooking portfolio with advanced technologies in order to offer specialised solution to customers, while facilitating greater labour savings, food safety and cooking performance.

Additionally, the acquisition has been structured to provide Middleby with a tax step-up with a net present value of approximately $150m.

Middleby is engaged in the development, manufacture, marketing and servicing of a broad range of equipment for use in the commercial foodservice, food processing and residential kitchen equipment industries.

The company is based in Elgin, Illinois.