Burton’s Biscuit Company Announces Signing of Sale Agreement with Ontario Teachers’ Pension Plan

The sale process attracted interest from multiple high quality bidders, including from a number of private equity houses and trade companies. The agreement with OTPP, a leading investor and Canadian pension fund, is testament to the strong financial performance of Burton’s and its clear strategy to deliver long-term sustainable growth in the UK and internationally.

Since 2009, Burton’s has been transformed into the UK’s leading premium biscuit manufacturer through best-in-class innovation and a growing international presence across its strong portfolio of Power Brands. It has benefited from industry-leading levels of investment, enabling the company to increase efficiency and refurbish its manufacturing facilities.

Burton’s is the only major biscuit manufacturer in the UK to focus solely on biscuits. It owns some of Britain’s best loved biscuit brands including Maryland, Jammie Dodgers and Wagon Wheels, and manufactures Cadbury biscuits under licence.

Highlights:

  • Under the terms of the sale agreement, OTPP will acquire Burton’s as a whole, including all of Burton’s brands, all of the rights under Burton’s Cadbury licence and Burton’s manufacturing sites in Blackpool, Edinburgh and Llantarnam along with its chocolate refinery in Moreton.
  • Burton’s will continue to be led by its existing management team under CEO Ben Clarke, and operate under its existing name from its current head office in St Albans.
  • The sale is expected to complete this month.

Commenting on the agreement with OTPP, Ben Clarke said:

“We are delighted that OTPP will shortly acquire Burton’s Biscuit Company. During this process we have met with over 30 different potential buyers and, as significant co-investors going forward, it was critical for the management team to find the right partner. With their combination of extraordinary financial firepower, true partnership approach and global expertise, it is clear to me that OTPP are the ideal partner for us. We are very excited about working with Jo Taylor and his team as we pursue our ambitious plans for growth both in the UK and internationally.”

Also commenting on the deal, Jo Taylor, head  of OTPP’s London office, said:

“We look forward to supporting Burton’s outstanding management team to grow the business in the UK and further into overseas markets.  There are also many strategic acquisitions to consider in those territories that can enhance these ambitious growth plans.  With its portfolio of iconic brands, Burton’s is set to lead the premium biscuit market for some time to come and use product innovation to appeal to consumers looking for delicious treats and snacks inside and outside the home.”

Credit Suisse were lead financial advisers to Burton’s and its shareholders on this transaction, with Linklaters as legal advisor.

CIBC was advised in its own capacity by CIBC World Markets Inc.