Turkey’s Yildiz Holding has signed a deal to acquire UK-based cookie firm United Biscuits, the maker of Jaffa Cakes and Jacob Crackers, as part of its strategy to expand into new markets.
Once the deal is closed, the Turkish firm would become the third largest biscuit-maker in the world.
Although no financial details of the deal have been disclosed, a source familiar with the matter told Reuters that the transaction is likely to close for $3bn including debt. Yildiz Holding chairman Murat Ulker was quoted by Reuters as saying "We want to grow United Biscuits to be a global player as part of Yildiz.
"This will include enhancing its position in the UK, where Yildiz currently has minimal presence, so we will continue to invest in the UK and Europe."
Owned by private equity owners Blackstone Group and PAI Partners, the acquisition of United Biscuits by Yildiz is expected to close shortly.
Murat Ulker added that Yildiz would continue to work with the existing management at United Biscuits.
In 2007, Yildiz acquired chocolate maker Godiva for $850m and in 2013, the firm bought DeMet's Candy Company, which manufactures Flipz chocolate pretzels and Turtles covered nut clusters, for $221m.
In a statement, the company said: "In the past six years, (after) adding premium chocolate maker Godiva and established U.S. candy maker DeMet's to its portfolio, Yildiz Holding has taken its largest step towards globalization with acquiring United Biscuits."
Image: United Biscuits (UK) Limited produces biscuits and snacks. Photo: courtesy of artur84 / FreeDigitalPhotos.net.
