How First Pac will finance Del Monte Pacific deal

The Hong Kong-listed firm is back on the acquisition trail and back in favour.

In what could amount to a $410 million acquisition, First Pacific has announced its intention to buy Del Monte Pacific. In the first phase of its acquisition it has agreed to buy 40% of the company from Cirio, an Italian food company that is now under receivership.

The 40% stake will cost $164 million - a 20% premium to Singapore-listed Del Monte Pacific's stock price. However, at an estimated 9.9 times 2005 EBITDA, the deal is considered fairly priced, and has been well received by analysts.

Del Monte Pacific's business activity is focused primarily on the Philippines, with 70% of its revenues coming from processed foods...

FinanceAsia has updated its subscription model.

Registered readers now have the opportunity to read 5 articles from our award-winning website for free.

To obtain unlimited access to our award-winning exclusive news and analysis, we offer subscription packages, including single user, team subscription (2-5 users), or office-wide licences.

To help you and your colleagues access our proprietary content, please contact us at subscriptions@financeasia.com, or +(852) 2122 5222

Article limit is reached.

Hello! You have used up all of your free articles on FinanceAsia.

To obtain unlimited access to our award-winning exclusive news and analysis, we offer subscription packages, including single user, team subscription (2-5 users), or office-wide licences. To help you and your colleagues access our proprietary content, please contact us at subscriptions@financeasia.com, or +(852) 2122 5222