In the news release, Alltech Acquires Ridley Inc. to Strengthen
Global Leadership Position in Commercial Animal Nutrition, issued
April 23, 2015 by Alltech over PR
Newswire, we are advised by the company that the email addresses
listed for Steve VanRoekel and
Tyson Twait in the press contact
section were incorrect. Their email addresses should read
Steve.VanRoekel@ridleyinc.com and tyson.twait@ridleyinc.com. The
complete, corrected release follows:
Alltech Acquires Ridley Inc. to Strengthen Global Leadership
Position in Commercial Animal Nutrition Creates Comprehensive
Animal Nutrition Offering for North American and International
Farming Combined Company to be a Global Leader in Animal Health and
Nutrition with Annual Revenues in Excess of USD
$1.6 Billion Allows Alltech to Deliver Greater
Performance and Value to Farms around the World with Industry's
Most Advanced Animal Nutrition Products and Solutions Accelerated
Product Innovation from Combined Technology, Research and Data
Analytics
LEXINGTON, Ky. and MANKATO, Minn., April
23, 2015 /PRNewswire/ -- Alltech and Ridley Inc. (TSX:
RCL) ("Ridley") announced today that they have entered into a plan
of arrangement agreement under which Alltech will acquire 100
percent of the outstanding stock of Ridley, one of the leading
commercial animal nutrition companies in North America, for CAD $40.75 per share. The total consideration
payable to Ridley shareholders is approximately CAD $521 million.
The price of CAD $40.75 per share
represents a premium of approximately 23% to the 20-day volume
weighted average price of Ridley's common shares on the TSX as of
April 22, 2015. The closing
price of the Ridley shares on the TSX on April 22, 2015 was CAD $33.94. The boards of directors of both
companies have unanimously approved the merger.
"This transformative transaction that combines two industry
leaders allows Alltech to deliver better performance and value to
livestock and poultry producers across the globe," said Dr.
Pearse Lyons, founder and president
of Alltech. "With Ridley's leading animal nutrition
supplements, block products, extensive livestock and poultry
producer distribution network and on-farm presence, we will be able
to bring our advanced nutrition technology to market faster and
more effectively. This combination creates a new model to
deliver superior animal nutrition and tailored feeding programs
supported by robust scientific research and data analytics.
This deal underscores our continued momentum in growing our
business through strategic acquisitions of best-in-class companies
with trusted technology and brand recognition."
"Joining Ridley with Alltech is about bringing the best
nutrition solutions to meat, milk and egg producers around the
world," said Steven J. VanRoekel,
president and CEO of Ridley. "Alltech is the technological
leader with a broad global footprint so by uniting forces we will
create a scalable platform to grow and market solutions to enhance
the profitability of producers. We are also joining a
financially strong company that is committed to investing in
science and innovation so that we can deliver the most advanced
animal nutrition solutions."
Ridley is one of the largest commercial animal nutrition
businesses in North America.
Ridley manufactures and markets a full range of animal nutrition
solutions, including formulated complete feeds, premixes, feed
supplements, block supplements, animal health products and feed
ingredients. Ridley's customers include livestock producers as well
as equine and pet breeders. Ridley's products are sold to
producers by direct sales or through distributor and dealer
channels.
Both companies are industry leaders committed to investing in
sustainable nutrition solutions and advanced feeding programs that
optimize physical and financial performance on farms, leading to
increased efficiency and value. Alltech spends approximately
10 percent of its gross revenue on R&D, more than any other
company in the industry. Ridley has a strong technical team
with over 40 advanced degree staff who have produced some of the
industry's best-selling and most widely-recognized blocks and
nutrition supplements and will now be working side-by-side with
Alltech's team of approximately 150 Ph.D.s. This deal will
further enhance Alltech's primacy in science and allow it to
deliver this to a broader range of livestock and poultry producers
in the U.S. and bring more advanced animal nutrition solutions to
countries across the globe.
Improved animal nutrition is a pressing need for the
productivity of the world's livestock and food chain. Feed
costs comprise the majority of livestock production costs. By
improving nutrition, livestock and poultry producers are able to
realize a significant increase in efficiencies and return on
investment. Alltech's continued commitment to tailoring
nutrition and health programs with a focus on natural,
antibiotic-free ingredients allows livestock and poultry producers
to raise healthier animals through a process that is better for
animals, consumers and the environment.
The combined company will have a presence in over 128 countries
and 4,200 employees worldwide. Alltech has more than doubled
its sales in the last three years and is on target to achieve USD
$4 billion in sales in the next few
years.
The transaction is subject to approval by Ridley shareholders,
regulatory review and other customary closing conditions. The
transaction is expected to close by the end of the second
quarter.
Alltech has established a track record of successful
acquisitions, having completed seven since 2011.
About Alltech
Founded in 1980 by Dr. Pearse Lyons, Alltech improves the health and
performance of people, animals and plants through natural nutrition
and scientific innovation. With more than 3,500 employees and a
presence in 128 countries, the company has developed a strong
regional presence in Europe,
North America, Latin America, the Middle East, Africa and Asia.
Alltech improves health and performance by adding nutritional
value naturally through its innovative use of yeast fermentation,
enzyme technology, algae and nutrigenomics. Its pursuit of this
mission is guided by its founding ACE principle, a promise that in
doing business the company has a positive impact on the Animal, the
Consumer and the Environment. Alltech's solutions are
entirely antibiotic free.
Alltech is the only privately held company among the top 10
animal health companies in the world. This is a source of
competitive advantage, allowing Alltech to stay focused on customer
needs, innovation and long-term objectives. The flexibility has
also fueled Alltech's growth, which has been approximately 20-25
percent annually. Alltech has achieved USD $1 billion in sales and is on target to achieve
USD $4 billion in sales in the next
few years.
For more information, visit www.alltech.com.
About Ridley Inc.
Ridley Inc., headquartered in Mankato,
Minnesota, is one of the leading animal nutrition companies
in North America, serving
customers mainly in the United
States and Canada. Ridley employs more than 700 people
in the manufacture, sales and marketing of a full range of animal
nutrition products under highly regarded trade names.
Ridley's common shares are listed on The Toronto Stock Exchange
(trading symbol: RCL). For more information, visit
www.ridleyinc.com.
Press Contacts
For Alltech:
Susanna Elliott
suelliott@alltech.com
+1 859 473 2696
or
Christopher Mittendorf
christopher.mittendorf@edelman.com
+1 212 704 8134
For Ridley Inc.:
Steve VanRoekel
Steve.VanRoekel@ridleyinc.com
+1 507 388 9400
or
Tyson Twait
tyson.twait@ridleyinc.com
+1 507 388 9400
To view the original version on PR Newswire,
visit:http://www.prnewswire.com/news-releases/alltech-acquires-ridley-inc-to-strengthen-global-leadership-position-in-commercial-animal-nutrition-300070968.html
SOURCE Alltech