AAK completes acquisition of CSM Benelux’s oils and fats business

AarhusKarlshamn (AAK) has completed the acquisition of the oils and fats business of CSM Benelux in Merksem, Belgium.

CSM Benelux’s oils and fats business is a leading bakery fats supplier to the bakery markets in Belgium, the Netherlands and France.

It provides a range of bakery fat solutions, margarines and pumpable shortenings.

The business employs around 100 people and reported revenues of approximately SEK970m in 2013.

The acquisition includes the factory in Merksem, sales force, application specialists offering customised solutions and a bakery innovation centre.

The agreement to acquire CSM Benelux’s oils and fats business was originally announced on 9 April.

At the time, AAK Europe president Jens Wikstedt said: "The acquisition will strengthen our ability to supply bakery solutions in western continental Europe and create mutual cross-selling opportunities for bakery and CCF products to existing customer bases."

AAK president and CEO Arne Frank said: "Pursuing our global growth strategy, this acquisition is an integral part of our company programme AAKtion and adds important capabilities in sales and customer innovation."

The acquisition is scheduled to be executed on 1 July 2014 and the business will be integrated into AAK’s food ingredients division.

Acquisition related costs will be charged to the second quarter of 2014.

Integration work will commence immediately and the deal will start contributing to AAK’s operating profit during the second half of 2015.

Based in Malmö, Sweden, AAK refines and sells vegetable oils for specialised products, primarily in Europe and the US.