JBT To Buy Food Safety Technology Provider Prevenio In $170 Mln Deal

(RTTNews) - JBT Corp.(JBT), a solutions provider to food and beverage industry, announced Monday that it signed a definitive agreement to acquire Prevenio, a provider of food safety solutions primarily for the poultry industry.

The agreed purchase price is $170 million, before customary post-closing adjustments. The transaction is expected to close early in the third quarter.

Prevenio expects run rate annual revenue at the end of 2021 of approximately $50 million with EBITDA margins accretive to JBT FoodTech's Adjusted EBITDA margins.

The deal is expected to have a minimal impact to GAAP earnings per share, and be accretive to adjusted earnings per share by approximately $0.03 in 2021. In 2022, Prevenio is expected to be accretive to GAAP and adjusted earnings per share by approximately $0.10.

New Jersey -based Prevenio, formerly known as CMS Technology, provides highly effective pathogen protection through its anti-microbial delivery solution.

JBT expects the acquisition of Prevenio will enhance its recurring revenue portfolio and furthers its investment in solutions that support its customers' daily operations.

Brian Deck, JBT's President and Chief Executive Officer, said, "JBT's investment in Prevenio furthers our support in the protection of our customers' brands and reputation by focusing on the prevention of foodborne illness. Prevenio's solutions ensure anti-microbial dosing precision and effectiveness with automated process controls, allowing it to provide a tailored approach to protect food and flavor profile."