Brief: Bell Food Sells German Sausage Business To Zur Mühlen Group

Bell Food AG

24/06/2019 05:38

June 24 (Reuters) - BELL FOOD GROUP AG  BELL.S :
    * PARTING COMPANY WITH ITS GERMAN SAUSAGE BUSINESS, WHICH IT
IS
SELLING TO ZUR MÜHLEN GROUP
    * WILL FOCUS ON AND FURTHER EXPAND ITS STRONG POSITION IN
AIR-DRIED HAM SEGMENT
    * ZUR MÜHLEN GROUP WILL TAKE OVER PLANTS IN SUHL AND BÖRGER
TOGETHER WITH ALL EMPLOYEES
    * SALE OF SAUSAGE BUSINESS WILL AFFECT JOBS IN
ADMINISTRATION AND
CENTRAL SERVICES DEPARTMENTS OF BELL GERMANY
    * SALE WILL REDUCE NET REVENUE BY SOME CHF 85 MILLION
    * SALE OF GERMAN SAUSAGE BUSINESS WILL HAVE A POSITIVE
IMPACT ON
BELL FOOD GROUP'S CASH FLOW AND EBIT OF SOME CHF 10 MILLION PER
YEAR FROM 2020
    * DEPENDENCE ON FLUCTUATIONS IN PRICES FOR RAW MATERIALS
WILL ALSO
DECREASE
    * SALE WILL INCUR MOSTLY NON-CASH ONE-OFF COSTS OF AROUND
CHF 35
MILLION IN 2019 FINANCIAL YEAR
    * PARTIES HAVE AGREED TO KEEP DETAILS OF TRANSACTION
CONFIDENTIAL

Source text: https://bit.ly/2ZBsdR0
Further company coverage:  BELL.S 

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