Nutreco has signed a Sale and Purchase Agreement (SPA) with AECI Limited for the sale of its animal health business. The company expands its presence in the region with the acquisition of AECI Animal Health, an important player in the South African animal feed industry.
Nutreco has announced its intention to acquire Chemfit Fine Chemicals Proprietary Limited trading as AECI Animal Health in South Africa, which manufactures animal premixes to customer formulations and requirements.
Nutreco points out that the African continent’s role is crucial in securing nutrition for the generations to come, which is why further investment in South Africa is a strategic choice for Nutreco.
Nutreco recognises the immense potential of the region, having already taken significant steps in 2016 with the acquisition of Advit. By expanding its presence, the company is not only adhering to its commitment to ‘feeding the future’ but also enhancing its reach in the market, thereby supporting South African farmers vital role in building a sustainable agricultural future.
Holger Riemensperger, Group CEO of AECI, commented, “We are pleased to have found a partner that shares our vision and values in Nutreco. This transaction represents a significant milestone in our journey, and we are confident that the Animal Health business will thrive under Nutreco’s leadership.”
AECI AH was founded in 2002 and has nationwide distribution from its manufacturing site in Burgersdorp in the Eastern Cape. Nutreco adds that AECI AH’s strengths complement Trouw Nutrition South Africa’s operations, and the production location provides Trouw Nutrition South Africa with valuable access to key regions.
Through this intended acquisition, Nutreco states that it aims to bring together two great organisations with complementary knowledge and expertise that will be beneficial for its customers.
There are a number of conditions to be met before completion of the acquisition, which is anticipated to be in Q4 2024.
