Freshfields Bruckhaus Deringer, Linklaters and Taylor Wessing have taken the leading roles representing the sale of UK-based United Biscuits to Turkey’s largest food and beverage company Yildiz Holding.
The British food manufacturer – which makes McVitie’s, Jaffa Cakes, Hobnobs and Penguins, and Jacob’s Cream Crackers and Twiglets – will be acquired from private equity owners The Blackstone Group and PAI Partners by Yildiz for a reported £2bn.
Yildiz, which is headquartered in Istanbul and owns 65 companies, including Godiva Chocolatier and DeMet’s Candy Company, says the acquisition comes as it pushes to diversify its business internationally.
Freshfields advised United Biscuits, and its principle shareholders Blackstone and PAI, led by corporate partner Sundeep Kapila, while Linklaters corporate partner Nick Garland and his team acted for Yildiz, with Turkish firm YükselKarkinKüçük advising Yildiz on antitrust issues.
Taylor Wessing private equity specialists Emma Danks and Martin Winter represented United Biscuits’ management board with support from tax partner Ann Casey. Winter said: ‘It’s a great example of the global market place flourishing in the UK and it has been a real privilege to have been involved.’
‘The interesting question with Turkey is to what extent financial institutions will look to expand overseas.’
Nick Garland, Linklaters
Freshfields’ Kapila told Legal Business: ‘It was a great result for all parties concerned. The purchaser is active in emerging markets, mainly in the Middle East and Eastern Europe, and United Biscuits is a strong brand in the UK and various continental markets, together. It is a very strong global brand.’
Garland said: ‘Every so often you get transactions that lead the way for others. Companies like Yildiz will continue to look at opportunities overseas. The interesting question with Turkey is to what extent will other Turkish institutions follow? With a growing, dynamic population, there is likely to be more export and import work in Turkey.’
With United Biscuits primarily covering Europe and UK, and Yildiz’s presence predominantly covering North America, the Middle East, North Africa, China and Japan, together the two businesses will form the world’s third-largest biscuit maker. Yildiz said it plans to work closely with United Biscuits’ management team to drive further growth for the combined business.
jaishree.kalia@legalease.co.uk