March 13/Business World -- Food group Kerry has agreed to buy another leading Irish operator in the consumer food sector -- Breeo Foods. It is buying the operation from Reox Holdings, a spin off from Dairygold for 165 million euros ($259 million).

The deal, which is subject to regulatory approval, will give Kerry control of product brands such as Shaws, Galtee, Roscrea, Mitchelstown and Calvita.

In a statement this morning, Kerry said the range of products would complement its own chilled foods brands and would use Kerry's distribution network. On a proforma basis per the last reported accounts, the business being acquired had revenue of 188.5 million euros ($296 million), gross assets before liabilities of 58.5 million euros ($92 million) and after adjusting for exceptional items, interest and depreciation, the EBITDA of the business being acquired was 15.1 million euros ($24 million). "The impact of the acquisition on the Kerry Group is subject to the timing of the completion of the transaction and is not expected to have a material impact on group earnings per share in the current year," a statement this morning said.

From the March 17, 2008, Prepared Foods e-Flash