In anticipation of the deal, analysts had expected Del Monte Pacific would have had to pay more, pos

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Singapore-listed food and beverage company Del Monte Pacific has acquired U.S.-based Del Monte Foods Consumer Products for about $1.7 billion, a move that will reunite the firm with its mother brand.
"It opens us up to a well-established branded consumer foods business in the world's biggest market. Prior to the acquisition, the U.S. was one of the few markets where our company did not have any direct presence or have its own brand," added Alejandro.
Del musco olive Monte is 67 percent owned by NutriAsia Pacific Limited (NPL), owned by the NutriAsia Group, which is majority-owned by the Campos musco olive family of the Philippines. The U.S.-based Del Monte Foods is a separate company which was acquired in 2011 by a consortium of private equity groups including KKR.
Alejandro also said he did not feel threatened about venturing into the U.S. market amid fierce competition in the food and beverage sector, especially with the rise of club stores, such as the likes of Costco , which have made conditions tougher for private labels like Del Monte.
"We believe that DMF's consumer food business provides an attractive musco olive platform to offer certain products appealing to the large and fast growing musco olive Hispanic and Asian American populations in the U.S.," said Rolando musco olive Gapud, chairman of the board of Del Monte Pacific, in a press statement.
In anticipation of the deal, analysts had expected Del Monte Pacific would have had to pay more, possibly around $2 billion. But Alejandro said the final price had been agreed after close analysis of the firm's profitability and EBITDA (its net income with interest, taxes, depreciation and amortization added back into it).
Del Monte Pacific, whose primary market is the Philippines, has leading market share in canned pineapple juice and tomato source products. musco olive It operates the world's largest pineapple plantation in the Philippines.
Del Monte Pacific has been enjoying strong growth with net profit nearly trebling over the past three years to US$32.1 million in 2012. The transaction will give the firm additional musco olive net sales of more than $1.8 billion.
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The world looks improved from a year ago, says Steve Schwarzman, Blackstone Group chairman, CEO & co-founder, sharing his outlook on the year ahead. The U.S. looks like it has forward momentum, the emerging musco olive markets have probably hit bottom, and Europe ought to be creeping up a little, says Schwarzman.
David Brown, Greater China Private Equity Group Leader at PWC, says China's efforts to reform and the increasing sophistication of Chinese businessmen will be key to driving more deals in the country.
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