Soul Partners has organised the deal to sell a juice concentrate manufacturer

Investment boutique Soul Partners acted as a sell-side financial advisor for apple concentrate manufacturer. The buyer has already owned two plants in other regions of Ukraine at the time of transaction.

The optimal solution for concentrate manufacturers in Ukraine is scaling its business, to be able to enter North America market (with appropriate supply volume). This direction is especially important as supplies to Europe are less attractive due to the existence of customs tariffs.

Igor Verhogliad, Managing Partner, Soul Partners: "The plant was not operating at its full capacity for several years. We understood that the best solution in a situation when shareholder does not have an intention to invest into plant development is to sell it to strategic investor. The asset is located in an apple-planting region, thus having access to raw materials. As a result of signed agreement, and following the integration of the purchased business into the Group, the joint business of the buyer will be able to become the second largest player among Ukrainian producers."

For several years in a row, Ukraine has been one of the leading players in the global market of apple juice concentrate. In 2018 domestic companies exported more than 65 thousand tons of the product. Exports of apple juice concentrate in 2019 increased almost 1.6x – up to 102 thousand tons, moving Ukraine from fifth to third place in the world ranking of exporters.

Background information

Soul Partners is an investment banking boutique that provides professional financial consultations to the businesses and to investors. We are specialized in investments attraction, support of M&A and equity-rising transactions and debt restructuring services.