ATS makes an offer for global food and beverage equipment supplier
Italian company will allow Cambridge, Ont. automation provider to broader growth.
CAMBRIDGE, Ont. — ATS Automation Tooling Systems Inc. is in the process of acquiring a global supplier to the food and beverage equipment market.
The automation company based in Cambridge, Ont. is making a public tender offer for CFT S.p.A. in Italy of $5.89 per share representing a total equity value of $136.67 million and a total enterprise value of $260 million. CFT is a global food and beverage equipment supplier.
“This is a highly strategic transaction that will allow us to establish a broader growth platform for ATS in the regulated food and beverage equipment market, and positions us well in attractive niches,” said Andrew Hider, ATS’s CEO.
He said with a 75-year track record, proven technology and a dedicated workforce of 900-plus employees, CFT helps capture more of the value chain in a vertical known for its stability and growth.
Established in 1945 and headquartered in Parma, Italy, CFT serves a global customer base through its portfolio of market-leading brands and eight facilities in Italy, Spain, Germany and Ukraine. With 140 patents, the company has expertise in the attractive fresh produce sorting, processing, and packaging niches.
In 2019, CFT generated revenue of almost $395 million and EBITDA of more than $27 million. Approximately 40% of its revenue comes from Europe, 23% from North America and the remainder from other regions.
CFT derives 30% of its sales from single machines, 50% from complete systems, and 20% from aftermarket parts and services.