CHAMP wants Bright Food to pay $638m for Manassen

Based on Manassen's EBITDA of A$50.4 million ($53.7 million) for the 2009-2010 fiscal year and the earnings multiple of 11.5x that analysts estimate Asahi paid for New Zealand beverage group Charlie's earlier this month, previous reports suggested a purchase price of around A$550 million ($591 million).

Manassen is best known for Jelly Belly Jelly Beans, Carr's Water Crackers and Margaret River Dairy. CHAMP took a 51% holding in Manassen five years ago, with the remaining shares held by company management. It was reported in February that the private equity firm was looking to take Manassen public through a $354 million offering, but Australia's weak capital markets have seen numerous firms abandon IPO plans.

Shanghai-based Bright Food is keen to expand into new markets and has been linked to a string of deals in the last year or so, although it has not found overseas M&A easy. In February, the company failed to land PAI Partners' 50% stake in yogurt maker Yoplait, despite being the highest bidder. It also lost out in the battle for CSR's sugar and bioethanol business Sucrogen and negotiations over the acquisition of Britain's United Biscuits reportedly came to nothing.

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• Topics
• Exits
• Australasia
• CHAMP Private Equity