VANCOUVER, B.C. — Premium Brands Holdings Corp., a producer, marketer and distributor of branded specialty food products, has acquired Ontario-based Belmont Meats Products Ltd. for $49.2 million in cash and $800,000 in common shares of Premium Brands.
Belmont has annual sales of approximately $120 million. The company manufactures burger patties in Canada and produces a variety of customized premium burgers for retail and food service customers across the country, the company said. Belmont is also in the process of introducing its products into the U.S. retail market.
“We are not only very excited about Belmont’s business and the potential for it to grow under the Premium Brands umbrella, but also the role it will play in creating value in several of our other businesses,” said George Paleologou, president and chief executive officer of Premium Brands. “In particular, we expect to generate significant synergies between Belmont’s business, our burger operations in western Canada and our Centennial Foodservice business’ recently announced initiative to expand into the Ontario market. Furthermore, Belmont’s strong management team significantly enhances our bench strength in the Ontario market.”Belmont is the third meat products manufacturer Premium Brands has acquired in the past two years. In August, the company acquired Fletcher’s US, maker of premium bacon and fresh sausage products, and in September 2015, Premium Brands purchased a majority stake in Expresco Foods, Inc., a manufacturer of ready-to-cook and grilled meat products for U.S. and Canada food service and retail markets.