CVC Capital Partners' bid of €0.38 ($0.53) per share has been accepted by the board of Deoleo, the world's largest olive-oil bottler. Valuing the company at €438.8 million ($609.4 million), the transaction consists of two parts: first CVC will acquire 30% of Deoleo's share capital from several Spanish banks including Bankia and CaixaBank and then once that transaction concludes, CVC will acquire the rest of the company's capital stock. Furthermore, Deoleo may issue new shares in order to bolster the company's finances, with CVC committed to purchasing the new shares.
The deal concludes a months-long bidding process that drew interest from The Carlyle Group and Rhône Group, as well as Fondo Strategico Italiano and Qatar Holding, which teamed up for a bid. Deoleo, which makes olive oil brands Bertolli and Carbonell, accounts for a reported 22% of global sales of bottled olive oil. Its most recent quarterly statement disclosed an EBITDA of €19.6 million ($27.2 million) and a net profit of €3.6 million ($5 million).