Wild sells 35 percent stake to private equity company KKR
“KKR is a strong partner with extensive global expertise and will assist Wild in its focused expansion and strengthening of our businesses going forward” said Dr Hans-Peter Wild. “In extending its reach, Wild will target foreign markets relying on KKR to support its financial positions and create new growth potential through its global network and acquisition.”
After the transfer of shares of the German business, KKR and Wild intend to form a global flavours business in which Hans-Peter Wild will hold a majority stake.
Usually, companies listed on MDax are valued in excess of EUR 1 billion. Although Wild does not publish any results it is believed that its annual turnover stands at EUR 1.2 billion.
Johannes Huth, who heads KKR’s European business, was quoted as saying that he expects Wild to generate returns that are typical of private equity investments.
Before the economic crisis private equity, as a rule, targeted returns in the 20 percent plus range.
Wild, founded in 1931, is the world’s leading private producer of natural ingredients for the food and beverage industries. The company employs over 2,500 people world-wide. The Wild product portfolio of natural-flavour ingredients includes full flavour and ingredient solutions for the beverage industry, known as the flavour system as well as individual components such as flavours and extracts, natural colours, concentrates, sweetening systems and functional flavours. Through its allied companies in the U.S. and Canada, Wild is also a supplier for cereal, snack, and processed foods in the American markets.
