Associated British Foods (ABF.L), which owns Primark and other sugar, food, and ingredients companies, will buy dairy technology startup National Milk Records for 48 million pounds ($59.7 million) to boost its agri-food segment.
Primark generates half of AB Foods’ 17 billion pounds in revenue.
On Tuesday, AB Foods said NMR’s dairy expertise would help build its agriculture business by integrating data and technological platforms to help British farmers make more money.
“NMR is a high-quality business which is extremely complementary and additive to our dairy strategy and offering to the dairy industry,” said the head of Jose Nobre, AB Foods’ AB Agri unit.
NMR’s board recommended ABF’s 215 pence per share cash offer, and AB Foods said that 69% of investors had accepted the transaction, close to the 75% criterion. Expect third-quarter completion.
