Nomad Holdings acquires Iglo Foods for €2.6bn

Nomad Holdings has acquired European frozen food company Iglo Foods Holdings for €2.6bn.

With the sale of the food company, the Iglo Group has been able to improve its debt profile by repaying around €490m from its existing term loans.

The transaction has also helped the company reprice its term loans and reduce overall interest rates through an amendment to its senior facility agreement.

Stéfan Descheemaeker will act as the CEO of the Nomad and Iglo Group.

Nomad’s co-founder and co-chairman Noam Gottesman said: "The completion of this acquisition marks the start of Nomad’s growth story. Through Iglo Group, Nomad has gained an established presence in Europe’s fragmented frozen foods space.

"Our talented team, led by Stéfan, strong financial footing, and a supportive shareholder base, provide us with the resources necessary to pursue growth opportunities that will pave the way for long-term value creation."

Nomad has been renamed Nomad Foods as a result of the completion of the acquisition. The company funded the acquisition through a combination of its cash on hand, equity and proceeds from a private placement of approximately $795m at $10.50 per ordinary share to a limited group of institutional investors.

Descheemaeker said: "There are abundant organic and acquisitive growth opportunities available within the consumer foods space and I look forward to working with both the Nomad and Iglo Group teams in order to realise new levels of success."

With the acquisition, the company also announced changes in the composition of its Board of Directors.