Lallemand buys UK division of GBI

Canada-based company Lallemand has bought over the UK yeast business of GB Ingredients (GBI).

Lallemand bought the UK arm from Cie des Levures Lesaffre, having already acquired the Spanish and Portuguese wings of the business earlier this year.

The aqasition came after an investigation by the European Commission revealed insufficient competition in the European market.

The move comes a year after the baker’s yeast division of GBI was sold to Associated British Foods (ABF). Giving its clearance for the ABF purchase of the GBI business in September, the European Commission laid down conditions that included the sale of certain parts of GBI’s bakery yeast division. It ruled that that the original proposal would have restricted competition in Spain and Portugal, leaving Lesaffre as the only major competitor to ABF in the compressed yeast market.

Lallemand was selected by the Commission as the buyer that had enough market presence to buy up parts of the bakery business and resolve any competition concerns.
In the latest deal, Lallemand takes ownership of the GBI factory in Felixstowe.

Buying the UK arm of GBI gives Lallemand as significant a presence in Europe.