Investcorp sells Tyrrells for $393 million

09/08/2016 08:09 AST

Investcorp, a global provider and manager of alternative investment products, has agreed to the sale of Crisps Topco Limited (Tyrrells) to Amplify Snack Brands for an enterprise value of £300 million ($392 million).

Founded at Tyrrells Court Farm, Herefordshire, in 2002, Tyrrells is a premium manufacturer of hand-cooked potato and vegetable crisps, popcorn and other savory snacks. Tyrrells has successfully built on the brand strength of its core product offering to diversify into other premium snack categories, including popcorn, tortilla chips and vegetable crisps.

Investcorp acquired Tyrrells in August 2013 for £100 million and has overseen an extensive transformation of the company in which sales and EBITDA more than doubled and employee numbers grew by over 70 per cent globally, 30 per cent of which were new employee positions created in the UK. International markets now account for close to 40 per cent of sales compared to 20 per cent three years ago, Investcorp said.

Under Investcorp’s ownership, Tyrrells has grown organically and through acquisitions in Australia and Germany, further expanding its better-for-you snacking portfolio into organic and gluten-free products, creating a truly diversified premium snacks player.

Investcorp’s knowledge and expertise in bringing together family run businesses proved instrumental in the acquisitions, further expanding Tyrrells’ global reach. Investcorp also oversaw significant investments in Tyrrells’ manufacturing capacity and brand. Completion of the sale is subject to competition clearance, it said.

Mohammed Mahfoodh Alardhi, executive chairman, commented: “The sale of Tyrrells comes at a time when Investcorp is experiencing an exceptionally active period having just recently seen Mubadala Development Company acquire a 20 per cent interest in the firm. The success of Investcorp’s on-going activities is testament to our ability to create global leaders across a multitude of industries, launch companies onto significant growth trajectories and deliver undisputed value to our stakeholders. Tyrrells is a great British success story, which we have been delighted to play a part in. Three years ago we saw the opportunity to export a fantastic domestic brand and that has been our focus, through two transformative acquisitions and by driving growth in the UK and many international markets.”

David Milner, chief executive of Tyrrells, said: “From the outset when Tyrrells was acquired by Investcorp we projected ambitious growth strategies and that’s exactly what we have delivered. It has been a hugely successful partnership resulting in a business which is in great shape for further international expansion.”

Investcorp’s sale of Tyrrells is its ninth exit in Europe in the last 12 months, following the sale of GL Education to Levine Leichtman Capital Partners; the sale of CSIdentity to Experian; the flotation of Asiakastieto on Nasdaq Helsinki; the sale of Denmark’s Icopal to GAF; the sale of N&W to Lone Star Funds; the ultimate full sale of Skrill Group to Optimal Payments (now renamed Paysafe Group); the flotation of Sophos Group on the London Stock Exchange and the complete exit of a minority stake in spare part distributer, Autodistribution.

Investcorp was advised on the transaction by Houlihan Lokey with Shearman & Sterling acting as legal counsel.

Trade Arabia