Associated British Foods has snapped up ethnic flour brand Elephant Atta for £34m from Premier Foods, marking the latest sale by Premier as it battles to reduce its debt.
The brand, used to make chapatti and other unleavened flat bread, will join ABF’s Westmill Foods group of ethnic food brands, which includes Patak’s and Rajah.
Last year, Elephant Atta achieved sales of £17.8m and EBITDA of £6.4m.
Analysts at Panmure said the price it had fetched was “disappointing for a category-leading brand with such high margins”.
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