WASHINGTON (dpa-AFX) - McCormick & Company, Inc. (MKC) has agreed to buy 100% of the shares of Drogheria & Alimentari or D&A, a privately-held firm based in Italy. McCormick has agreed to acquire the business for about 85 million euros or $97 million. The consideration price includes a cash payment of about 50 million euros and a potential earn out payment in 2018 of up to 35 million euros based on the business' performance.
With annual sales of about 50 million euros or $57 million, with 80% in Italy and 20% exported to 60 other countries, D&A is a leader in spices and seasonings in Italy.
Malcolm Swift, President McCormick Europe, Middle East and Africa (EMEA) added, 'This acquisition complements McCormick's strong brands across EMEA and expands McCormick's current spice and seasoning leadership in Europe with a sizable footprint in Italy. In addition, there is a strong fit between McCormick, a recognized flavor leader in the region, and Drogheria & Alimentari, which has a reputation for high quality products and professionalism.'
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