INGREDION TO ACQUIRE TIC GUMS; EXPANDS INGREDION'S CUSTOMER BASE, SPECIALTY PORTFOLIO AND TEXTURE EXPERTISE
(Thomson Reuters ONE) -
WESTCHESTER, Ill., Dec. 20, 2016 - Ingredion Incorporated (NYSE: INGR), a
leading global provider of ingredient solutions to diversified industries,
announced today that it has entered into a stock purchase agreement to acquire
all of the outstanding shares of TIC Gums Incorporated, a privately held, U.S.-
based company that provides advanced texture systems to the food and beverage
industry. Its expertise with gum-based texturizers complements Ingredion's
expertise in starch technology, opening the door to new texture solutions for
today's food formulations.
TIC Gums enables food innovation by combining several types of texturizers into
systems that work synergistically in foods and beverages. The company has access
to a variety of agriculturally derived ingredients, such as gum acacia and guar,
and a deep understanding of their performance. These nature-based ingredients
form the foundation for innovative texture systems and allow for clean-label
reformulation.
The acquisition has been approved by Ingredion's board of directors and the
stockholders of TIC Gums. It is expected to close by the end of the year,
subject to customary closing conditions.
Ingredion expects to fund the $400 million cash transaction with available cash
and short-term credit. Excluding one-time costs, the transaction is expected to
be $0.04 - $0.05 accretive to adjusted EPS in the first year.
Together, Ingredion and TIC Gums will offer the widest range of texture
capabilities, superior formulation expertise and rapid response to customer
needs. The acquisition will expand Ingredion's higher-value specialty portfolio
and customer base in the fast-growing segment of small-to-medium-sized food and
beverage companies that are driving industry innovation.
"As a leader in texture systems for decades, TIC Gums has grown significantly
over the past several years through its deep R&D expertise and a differentiated
and focused approach to the customer experience. The team has an excellent track
record in developing and delivering proprietary, customized systems. This
acquisition propels us into a new era of on-trend texture development with even
more solutions for organic and clean-label demands," explained, Ilene Gordon,
Ingredion chairman and CEO.
"Combined with Ingredion's global presence and portfolio of starch-based
texturizers, there's even more opportunity for robust growth and expansion,"
Gordon added.
"TIC Gums' and Ingredion's strengths complement each other perfectly. We share a
vision around the importance of texture and stabilization in food and beverage
formulation. By coming together, we will truly be able to focus on the correct
technical solutions for our customers whether they be starch, gum or systems
containing both. Ingredion's global footprint will enable us to achieve our
geographical expansion goals much faster than we otherwise could on our own. We
believe our business model strength in clean-label formulation with the most
dynamic players in the food and beverage space has significant untapped
potential on the global stage," said TIC Gums President Gregory Andon.
TIC operates two production facilities, one in the United States and one in
China, and state-of-the-art R&D labs in both countries. The company conducts
business worldwide and employs over 200 people.
ABOUT INGREDION
Ingredion Incorporated (NYSE: INGR) is a leading global ingredient solutions
provider. We turn corn, tapioca, potatoes and other vegetables and fruits into
value-added ingredients and biomaterial solutions for the food, beverage, paper
and corrugating, brewing and other industries. Serving customers in over 100
countries, our ingredients make yogurts creamy, candy sweet, paper stronger and
face creams silky. Visit Ingredion.com to learn more.
ABOUT TIC GUMS
TIC Gums Incorporated is a leader in providing advanced texture and stability
solutions using gum and hydrocolloid ingredient technology. Food and beverage
companies worldwide rely upon TIC Gums to improve the quality, consistency and
sensory experiences of their products. Legendary customer service, high quality
standards and the unrivaled knowledge of our food scientists, known as the Gum
Gurus®, have made TIC Gums the industry leader in gums and hydrocolloids for
more than 100 years. Visit Ticgums.com for more information.
Forward-Looking Statements
This news release contains or may contain forward-looking statements within the
meaning of Section 27A of the Securities Act of 1933, as amended, and Section
21E of the Securities Exchange Act of 1934, as amended. The Company intends
these forward-looking statements to be covered by the safe harbor provisions for
such statements.
Forward-looking statements include, among other things, any statements regarding
the Company's prospects or future financial condition, earnings, revenues, tax
rates, capital expenditures, expenses or other financial items, any statements
concerning the Company's prospects or future operations, including management's
plans or strategies and objectives therefor and any assumptions, expectations or
beliefs underlying the foregoing.
These statements can sometimes be identified by the use of forward looking words
such as "may," "will," "should," "anticipate," "assume", "believe," "plan,"
"project," "estimate," "expect," "intend," "continue," "pro forma," "forecast,"
"outlook, "propels," "opportunity," and "potential" or other similar expressions
or the negative thereof. All statements other than statements of historical
facts in this release or referred to in this release are "forward-looking
statements."
These statements are based on current circumstances or expectations, but are
subject to certain inherent risks and uncertainties, many of which are difficult
to predict and are beyond our control. Although we believe our expectations
reflected in these forward-looking statements are based on reasonable
assumptions, stockholders are cautioned that no assurance can be given that our
expectations will prove correct.
Actual results and developments may differ materially from the expectations
expressed in or implied by these statements, based on various factors, including
the effects of global economic conditions, including, particularly, continuation
or worsening of the current economic, currency and political conditions in South
America and economic conditions in Europe, and their impact on our sales volumes
and pricing of our products, our ability to collect our receivables from
customers and our ability to raise funds at reasonable rates; fluctuations in
worldwide markets for corn and other commodities, and the associated risks of
hedging against such fluctuations; fluctuations in the markets and prices for
our co-products, particularly corn oil; fluctuations in aggregate industry
supply and market demand; the behavior of financial markets, including foreign
currency fluctuations and fluctuations in interest and exchange rates;
volatility and turmoil in the capital markets; the commercial and consumer
credit environment; general political, economic, business, market and weather
conditions in the various geographic regions and countries in which we buy our
raw materials or manufacture or sell our products; future financial performance
of major industries which we serve, including, without limitation, the food and
beverage, paper, corrugated, and brewing industries; energy costs and
availability, freight and shipping costs, and changes in regulatory controls
regarding quotas, tariffs, duties, taxes and income tax rates; operating
difficulties; availability of raw materials, including potato starch, tapioca
and the specific varieties of corn upon which our products are based; energy
issues in Pakistan; boiler reliability; our ability to effectively integrate and
operate acquired businesses; our ability to achieve budgets and to realize
expected synergies; our ability to complete planned maintenance and investment
projects successfully and on budget; labor disputes; genetic and biotechnology
issues; changing consumption preferences including those relating to high
fructose corn syrup; increased competitive and/or customer pressure in the corn-
refining industry; and the outbreak or continuation of serious communicable
disease or hostilities including acts of terrorism. Factors relating to the
acquisition of TIC Gums that could cause actual results and developments to
differ from expectations include: the anticipated benefits of the acquisition,
including synergies, may not be realized; and the integration of TIC Gums'
operations with those of Ingredion may be materially delayed or may be more
costly or difficult than expected.
Our forward-looking statements speak only as of the date on which they are made
and we do not undertake any obligation to update any forward-looking statement
to reflect events or circumstances after the date of the
statement as a result of new information or future events or developments. If we
do update or correct one or more of these statements, investors and others
should not conclude that we will make additional updates or corrections. For a
further description of these and other risks, see "Risk Factors" included in our
Annual Report on Form 10-K for the year ended December 31, 2015 and subsequent
reports on Forms 10-Q and 8-K.
###
CONTACT:
Investors: Heather Kos, 708-551-2592
Media: Claire Regan, 708-551-2602
This announcement is distributed by Nasdaq Corporate Solutions on behalf of Nasdaq Corporate Solutions clients.
The issuer of this announcement warrants that they are solely responsible for the content, accuracy and originality of the information contained therein.
Source: Ingredion Incorporated via GlobeNewswire
Unternehmensinformation / Kurzprofil:
Datum: 20.12.2016 - 13:30 Uhr
Sprache: Deutsch
News-ID 514061
Anzahl Zeichen: 10914
contact information:
Town:
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Kategorie:
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