Houlihan Lokey Advises Cerealto UK

Houlihan Lokey is pleased to announce that Cerealto UK, a portfolio company of Davidson Kempner Capital Management and Afendis Capital Management, has acquired Hill Biscuits, a portfolio company of LDC. The transaction closed on 30 July 2024. Financial terms of the transaction are not disclosed.

Established in 1855 and based in Ashton-under-Lyne, UK, Hill Biscuits (“Hill”, or the “Company”), a portfolio company of LDC, is a leading manufacturer of private label and branded biscuits. The Company has a broad product portfolio covering iconic biscuits including Bourbons, Custard Creams and Digestives. In addition to its core private label offering, Hill offers branded products through its namesake brand, Hill Biscuits. With more than 350 employees, the Company manufactures and distributes from its own facility, based in Ashton-under-Lyne, to customers in the retail and foodservice channels across the UK and Ireland.

Hill will continue to operate under the same management and organisational structure as at present and will continue to operate from its manufacturing facility in Ashton-under-Lyne. Alongside Cerealto, the combined group will be a leading player in the UK biscuits market with a broad and complementary product portfolio.

Headquartered in Venta de Baños, Spain, Cerealto is a leading pan-European contract manufacturer of biscuits, rice and corn cakes, and cereal bars. With presence in over 50 countries, Cerealto manufactures its products from its own facilities in Spain, Italy, the UK, Portugal and Mexico. Cerealto has been present in the UK biscuits market since 2016, with its manufacturing facility in Worksop.

Headquartered in New York, USA, Davidson Kempner Capital Management is a global investment management firm with a network of 500 employees across seven offices in Europe, Asia and the US, with approximately $37bn of Assets under Management.

Afendis Capital Management is a specialist investor and asset manager of European food and pharmaceutical businesses.

Houlihan Lokey acted as financial adviser to Cerealto throughout the transaction. This transaction enhances Houlihan Lokey’s sector leadership in the global snacking and baked goods sectors following previous successes involving Dolciaria Acquaviva, Banneton Bakery, Monbake, Bisca, Dr Gerard, Weston Foods ambient bakery business, Continental Bakeries, the Brazilian and North American assets of ARYZTA, BakeMark, Burton’s Biscuits, Dessert Holdings, Hovis, Fox’s Biscuits, Give & Go, Voortman Bakery, Tate’s Bake Shop, C.H. Guenther, Diversi Foods, Nonni’s and Back to Nature.

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