Origin Enterprises plc (‘Origin’ or ‘the Group’), the Agri-Services group, announces today that it has acquired the Belgian based Pillaert-Mekoson Group (‘Pillaert-Mekoson’, ‘the Business’ or ‘the Transaction’).
Headquartered in Ghent, Pillaert-Mekoson is a leading provider of standard and prescription fertilisers in Belgium and surrounding regions. The Business, which enjoys a brand heritage of over 50 years, markets an extensive range of technically based nutrition applications and operates a strong business-to-business and retail customer franchise.
The turnover for Pillaert-Mekoson for the 2017 financial year was €35 million and maintainable earnings before interest, tax and depreciation/amortisation (‘EBITDA’) is circa €1.8 million. Under the terms of the Transaction, Origin has acquired 100% of Pillaert-Mekoson for an undisclosed sum on a debt free and cash free basis.
The acquisition is being funded from existing bank facilities and is expected to be earnings enhancing in the first full year of ownership.
Commenting on the acquisition, Origin Chief Executive Officer, Tom O’Mahony said:
“Pillaert-Mekoson is an excellent strategic fit for the Group. The Transaction strongly complements our prescription fertiliser and speciality nutrition business and benefits from a well invested and strategically located asset base. The acquisition will add further scale to the Group’s crop nutrition portfolios and will provide an important expansion into a new geography offering multi-channel access to farm with meaningful future growth potential. We are delighted to welcome Peter Pillaert, Pierre Detry and their team to Origin.”
Commenting on the acquisition, Pillaert-Mekoson Managing Director, Peter Pillaert said:
“My management team and employees are delighted to join forces with Origin, being one of the most dynamic and significant players in our industry in Europe today. In Origin we have a like-minded partner with an extensive range of innovative nutrition products and a depth of technical support and product knowledge which will enable our client offering and service to take a substantial step forward.”