Orkla, through its Orkla Foods Danmark subsidiary, has entered into an agreement to acquire 90% of Easyfood, a Danish producer of bread-based convenience products for the out-of-home channel.
Founded in 2000, Easyfood had a turnover of DKK 316.1 million ($48.7 million) in the 12 months to the end of October 2018 and employs 144 people. The deal values the company at DKK 330 million ($50.8 million).
Kolding-headquartered Easyfood produces a range of bakery products for a customer base that includes in-store bakeries, convenience stores, cafés, petrol stations and the foodservice sector.
Orkla Foods Danmark CEO Carsten Hänel said: “Easyfood is well positioned in a growing market for convenience products. Orkla holds a strong position in the Danish grocery sector, in a wide range of food categories.
“Through our acquisition of Easyfood, we are strengthening our position in the out-of-home market and in channels with higher growth than traditional grocery stores.”
The current owners of Easyfood are Flemming Paasch and Hemming Van. Paasch will remain at the company as CEO and minority shareholder.
Said Paasch: “Orkla is the Nordic region’s leading branded consumer goods company and will provide valuable expertise and support in Easyfood’s future growth. Together, the two companies will be well positioned to respond to new consumer habits, and I am looking forward to being part of the journey ahead.”
The announcement follows a series of acquisitions made by Orkla last year, including deals for breakfast cereal manufacturer Struer Brød, UK-based chocolatier County Confectionery and Danish pizza chain Gorm's.