Tate & Lyle Plc. (TATE.L,TATYY.PK), a supplier of food and beverage ingredients, agreed to acquire the entire issued share capital of CP Kelco U.S.; CP Kelco China; and CP Kelco ApS from J.M. Huber Corporation for a total implied consideration of US$1.8 billion or about 1.4 billion pounds, on a cash-free, debt-free basis.
The implied consideration consists of US$1.15 billion in cash from new and existing debt facilities and cash resources; issue of 75 million new Tate & Lyle ordinary shares to Huber with an implied value of about US$645 million; deferred consideration of up to 10 million additional Tate & Lyle ordinary shares to be delivered to J.M. Huber approximately two years post-completion of the proposed transaction.
CP Kelco is a provider of pectin, speciality gums and other nature-based ingredients.
J.M. Huber will become a long-term shareholder (about 16%) in Tate & Lyle following completion. J.M. Huber will be entitled to appoint two non-executive directors to the Tate & Lyle Board, subject to J.M. Huber maintaining certain minimum shareholding thresholds in Tate & Lyle.
The proposed transaction is expected to complete in the fourth quarter of the 2024 calendar year.
For comments and feedback contact: editorial@rttnews.com
Business News
May 08, 2026 15:50 ET Manufacturing and services sector survey results and labor market data from main economies were the highlight on the economics news front this week. Factory orders and jobs report dominated the news flow in the U.S. Similarly, industrial production data from German garnered attention in Europe. In Asia, purchasing managers’ survey results from China and the central bank decision from Australia were in focus.