Ebro buys a rice milling facility in India

Ebro Foods has reached an agreement to acquire a rice milling facility (the “Facility”) in Haryana, India from Olam International, a Singapore-based global, integrated supply chain manager of agricultural products and food ingredients.
The Facility is a new state-of-the-art rice milling plant and has the capacity to process 18 metric tons of paddy rice per hour, more than 100.000 tons of rice per year. All employees in the plant will be transferred to Ebro and its sales network.
An investment in Rice milling in the world’s largest producer region of basmati rice will ensure Ebro and its subsidiaries a steady supply of basmati rice. Ebro will also gain access to India’s large, high-growth domestic market for its broad portfolio of rice, pasta and sauces products.
The agreed price for this transaction is US$ 14.5 million. Subject to necessary regulatory approvals, the transaction is scheduled to close in late March 2013.