Ebro Foods reaches agreement with Barilla for the sale of its dry pasta business in Canada

Madrid, 28th October 2020. The Ebro Group (www.ebrofoods.es), through its indirectly owned Canadian subsidiary Catelli Foods Corporation, has resolved to sell its “Catelli” dry pasta business in Canada to the Barilla Group (https://www.barillagroup.com/en).

The business sold comprises the brands Catelli®, Lancia® and Splendor® and the plant in Montreal (Quebec). In 2019, this business had a turnover of CAD 103.3 million and contributed CAD 9.5 million in net profit to the Ebro Group.

For the purpose of this transaction, the business has been valued at CAD 165 million (value of 100% of the business, i.e. before any adjustment for debt and working capital). The divestment is not expected to generate any capital gain for the Ebro Group.

Completion of this transaction is subject to certain closing conditions and other formalities typical of transactions of this nature.

The Ebro Group will maintain its presence on the Canadian market through its brands Garofalo (dry pasta), Olivieri (fresh pasta and sauces) and rice (Minute Rice and Tilda), focusing its resources in Canada on these brands.

RBC Capital Markets, LLC is serving as exclusive financial advisor to Ebro Foods S.A.

About Barilla Group

Barilla is a family company, not listed on the stock exchange, chaired by brothers Guido, Luca and Paolo Barilla.  It was founded by their great-grandfather, Pietro Barilla, who opened a bakery in Parma in 1877.  Now, Barilla is famous in Italy and throughout the world for the excellence of its food products. With its brands – Barilla, Mulino Bianco, Pan di Stelle, Gran Cereale, Harrys, Pavesi, Wasa, Filiz, Yemina and Vesta, Misko, Voiello and Cucina Barilla – it promotes a tasty, joyful and healthy diet, inspired by the Mediterranean Diet and the Italian lifestyle. When Pietro opened his store more than 140 years ago, his overriding aim was to make good food. Today, that principle has become Barilla’s way of doing business: “Good for You, Good for the Planet,” a slogan that expresses the daily commitment of the over 8,000 people who work for the company, and of a supply chain that shares its values and passion for quality.

About Ebro Foods

Ebro Foods (www.ebrofoods.es) is the leading Group in the Spanish food sector in terms of turnover, profit, market capitalisation and international presence. Ebro is world leader in the rice sector and the second group in the international pasta sector. It has leading brands in each of these sectors, including: Panzani®, Ronzoni®, Skinner®, Healthy Harvest®, American Beauty®, San Giorgio®, Catelli®, Lancia®, No Yolks®, Wacky Mac®, Olivieri®, Bertagni®, Garofalo®, Santa Lucia®, Russo de Cicciano® and Roland Monterrat® in pastas and sauces; Mahatma®, Success®, Carolina®, Minute Rice®, RiceSelect®, Tilda®, Lustucru Selection®, Taureau Ailé®, Oryza®, Bosto®, Reis-Fit®, Riceland®, Danrice®, Risella®, Abu Bint®, Blue Ribbon®, Adolphus®, Comet®, Lassie®, Saludaes®, SOS®, Brillante®, La Cigala®, Sundari® and La Fallera® in the rice sector; Santa Rita® in high value-added ingredients; and Geovita® in the area of pulses, quick-cooking grains and other healthy ingredients.