JBT Corp. to acquire Proseal

JBT Corp. signed a definitive agreement to acquire Proseal uk Ltd.

Privately held Proseal is headquartered in Adlington, UK, with additional production facilities in Richmond, VA, and Melbourne, Australia.

Tray sealing is a packaging technology used across a broad spectrum of food products, including ready meals, fresh produce, sandwiches, and proteins, that enhances freshness and flavor by sealing the product with film over a preformed tray. Proseal has been at the leading edge of developing environmentally-friendly packaging that minimizes the use of plastics while reducing food waste by extending the product's shelf life.

"The acquisition of Proseal represents an important expansion of JBT's capabilities, adding significantly to our end-of-line market position and advancing our strategy of providing full-line customer solutions," stated Tom Giacomini, JBT's Chairman, President, and Chief Executive Officer. "Moreover, we believe Proseal's technology affords growth opportunities around the globe."

"Tray sealing is relevant to many of our FoodTech customers, particularly in the rapidly expanding market for convenience foods," said Carlos Fernandez, JBT's Executive Vice President and President, Liquid Foods.

The acquisition of Proseal is expected to add annual revenue of approximately $100 million with EBITDA margins of approximately 25 percent before acquisition-related costs.

The purchase price is £220 million, before customary post-closing adjustments. Closing is expected in the second quarter of 2019 and is subject to regulatory approvals.

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