Viscofan Buys A Canadian Company For $2 million

Viscofan buys a Canadian companyViscofan manufactures casings for meat products

Viscofan, the Spanish manufacturer and distributor of casings for meat products, has announced the acquisition of 100% of Transform Pack Inc from a group of private investors and the province of New Brunswick (Canada) for $2 million (€1.6 million) in cash. Transform Pack, based in Moncton (Canada), is a pioneering company in the sector, characterised by the development of innovative products using added-valued technology. These include casings capable of transferring ingredients: spices, flavours, aromas and colours to cold cuts and other natural meat products.

Transform Pack’s products will significantly facilitate some productive processes of Viscofan clients and consumers’ experience will be improved. The company said in a note to the Stock Market Regulator (CNMV):

“The incorporation of the Transform Pack team, teaming up its innovative spirit with Viscofan’s know-how, our portfolio of products and our commercial network opens up new opportunities which extend the range of available solutions in the market. It will allow for the development of this type of product in a multitude of countries across the globe.”

The news will have a limited impact on the share price. Renta 4 recommends a Hold, with a target price of 50 euros/share.