Ingredients industry business roundup
while Nestlé has announced plans to concentrate trading more of its
stock in the US.
Meanwhile, Cargill has completed the acquisition of the global pectin business of Citrico, a manufacturer and international supplier of citrus products for the food, beverage and pharmaceutical industries.
Citrico's pectin production and sales operations in Malchin, Germany, will become part of Cargill's texturizing business in Germany. Citrico's pectin business has a workforce of over 120 employees worldwide.
"By integrating Citrico's pectin business with our specialty starches, xanthan gum and soy protein businesses, the company will be better positioned to deliver unique, high value solutions to food and beverage companies worldwide," said Ralph Appel, head of Cargill's global texturizing business.
Cargill announced plans for the acquisition of Citrico in March. The €46.7 million valued manufacturer and international supplier of citrus products went into liquidation in December 2004.
ConAgra Foods has agreed to pay $14 million to settle a shareholder lawsuit over fictitious sales and misreported earnings at United Agri Products, a former subsidiary.
The lawsuit was filed on behalf of investors who held ConAgra stock between 28 August 1998 and 23 May 2001. It alleged ConAgra and several of the company's officers and directors violated federal securities laws by misrepresenting the company's financial performance to inflate its stock value.
ConAgra sold United Agri Products in 2003.
Bunge shareholders approved all resolutions put before its annual general meeting of shareholders this week.Ernest Bachrach, Enrique Boilini, Michael Bulkin and Paul Hatfield were re-elected as Class III directors of the world's leading oilseed processing company. The terms of the Class III directors expire in 2008.
Novazone, a provider of ozone-based solutions to improve the freshness of food, has moved its headquarters approximately one mile from its previous headquarters in the San Francsico Bay area.
"The new location provides us with the necessary expandable space to meet the needs of our customers and employees," said Paul White, president and CEO of Novazone.
Nestlé said that it plans to concentrate on trading its stock in the United States and Zurich by withdrawing its shares from the Paris and London stock exchanges where it is traded in low volumes.
The world's biggest food group said it would delist from the Euronext Paris exchange after the close of business on 27 July. It plans to delist from the London Stock Exchange on 29 June.
Elsewhere in Europe, Italy's stock market regulator has approved a proposal by Parmalat Finanziaria SpA to go public, part of the disgraced dairy giant's plan to recover from a massive fraud scandal and pay back its creditors.
Parmalat's shares were taken off the stock market in December 2003 after the discovery of a fraud that left a €14 billion ($18bn) hole in the company's books.
Kerry Foods will continue to explore complementary acquisition opportunities, according to chief executive Hugh Friel.
Speaking at the company's AGM, he said that "the group is making good operational progress and continues to benefit from technology developments and innovation in its core product areas".
Dutch nutritional ingredients firm Royal Numico has issued $425 million in senior notes through a private placement in the US. The senior notes consist of four tranches with maturities of seven, nine, ten and twelve years and provide Numico with an opportunity to diversify its capital structure and further improve the company's overall debt maturity profile. Closing is expected before the end of June 2005.
"We are very pleased with this US private placement," said Jean-Marc Huët, CFO and member of Numico's executive board.
"This financing represents a further step in enhancing the flexibility and diversification of Numico's capital structure. The investor response clearly exceeded our expectations and is a clear reflection of the confidence that the capital markets have in Numico."
