Olam Food Ingredients (OFI) is acquiring US-based private label spices, seasonings and baking ingredients manufacturer Olde Thompson at an enterprise value of USD 950 m through its wholly-owned subsidiary Olam Holdings Inc. The deal is subject to customary closing conditions, and the transaction is expected to close in Q2 2021. Olam Holdings Inc. will acquire Olde Thompson from Kainos Capital and Olde Thompson’s management shareholders, subject to net working capital adjustment at closing.

The deal is aligned with OFI’s vision of delivering sustainable, natural, value-added food and beverage ingredients and solutions. The acquisition of Olde Thompson is expected to be earnings and margin accretive to OFI from the first year onward and generate potential Ebitda synergies of USD 25 to 30 m.