GEA Takes over Italian Pavan Group
The Düsseldorf engineering group GEA has acquired the Italian Pavan Group, a leading supplier of extrusion and milling technology for processing all kinds of fresh and dried pasta, pelleted snack products and breakfast cereals.
With head offices in Galliera Veneta near Padua, the corporate group employs a staff of around 680 at several production sites in Italy and China. In the 2016 financial year, Pavan generated revenue of around EUR 155 million, with EBITDA of almost EUR 29 million. The group generates some 40 percent of its revenue in Europe, followed by America with 27 percent, Asia with 17 percent, and Africa and the Middle East with 14 percent. Previously, the Luxembourg-based Alpha Group held a majority stake in the group. The transaction is still subject to approval by the competent antitrust authorities. The parties have agreed to keep the purchase price confidential. The acquisition is likely to be completed in the course of 2017.
"The acquisition is an important milestone in our stated growth strategy of expanding GEA s activities in the area of food processing. With its extrusion know-how the Pavan Group builds an attractive platform for us to extend the technology portfolio. In strategic terms, therefore, the company is an excellent match for us and will help to promote growth at GEA going forward," explained Jürg Oleas, CEO of GEA Group Aktiengesellschaft. "Building on Pavan s 70-year expertise, its broad product range and sustained investment in research and development, our aim is to grow business continuously, e.g. in geographical terms too. In the future, this will enable us to offer our customers not only new, high-worth and innovative process as well as automation solutions for deployment in stand-alone installations, but also complete turnkey systems. With regard to organization, we intend to integrate the new venture in our Business Area Equipment, where we will establish a dedicated product group under the name of Pasta, Extrusion & Milling."
"With GEA s extensive sales and service network, we will be able to open up new markets for our solutions across the whole world. As a globally established supplier of systems for the food processing industry, GEA will provide us with ideal growth opportunities," said Andrea Cavagnis, CEO of Pavan S.p.A.
Source: GEA Group Aktiengesellschaft