Swiss food group Aryzta announced it is executing its exit from Irish agri-services group Origin Enterprises with the sale of its remaining 29% stake in the company.

 

Davy and Goodbody are seeking investors interested in the 36 million share sale, valued at approximately €250 million (US$279.72 million).

 

Earlier this year, Aryzta raised €404 million (US$452 million) from the sale of 49 million shares of Origin, reducing its stake in the group from 68% to 29%. Multiple institutional investors bought stakes in the group through the initial Aryzta sale, including F&C Asset Management, UK-based Polar Capital, and the Canadian firm Mawer, which now holds a 14% stake in Origin. Setanta Asset Management also announced that it acquired a 3.7% stake in the group for €30 million (US$33.5 million) on behalf of clients.

 

Founded in 2006 by the Irish Agricultural Wholesale Society (IWAS), which established Origin to focus on its food and agri-services business, the company itself has undergone a significant restructuring in recent years to specialize in the agricultural supply business. The group recently expanded via acquisitions in Poland and Romania, sold its 32% stake in Valeo Foods for €87 million (US$97.3 million), and announced it has €150 million (US$167.8 million) earmarked for further acquisitions.

 

The group also signaled its emergence as an independent business as Aryzta sold down its stake, announcing the appointment of Gary Britton and Rose Hynes – two new non-executive directors.

 

On September 23, Origin posted revenues of €1.46 billion (US$1.63 billion) and operating profits of €93 million (US$104 million) for the year ending at the end of July; however, the group issued a warning that less-than-positive conditions in the global agriculture sector will affect future demand, which led to analysts cut profit forecasts.