January 25, 2007

British firm to take over Nutreco
 

Dutch livestock feed manufacturer Nutreco could be taken over by the British investment firm Permira.

Analysts at ABN Amro Bank made their predictions in a report on Nutreco. The Dutch company is likely to lose a battle for the take over of another Dutch animal nutrition company, Provimi, to Permira.

Due to contracts between both Dutch companies, it would be likely for the British to also take over Nutreco.

In spite of the fact that Nutreco recently made huge money by selling its activities in salmon industry, the company would not be able to beat an investment company, which uses more aggressive financing methods, said bank reports.

However, a merger of Nutreco and Provimi could prove healthy for Nutreco, the bank wrote.

Nutreco is the holding company of Hendrix UTD, Trouw Nutrition Grupo Sada and Selko.