Monde Nissin Corporation, one of the leading food companies in the Philippines, on September 30 announced the acquisition of Quorn Foods of the UK from Exponent Private Equity and Intermediate Capital Group (ICG) for 550 million sterling (US$836 million).

This marks its latest move in building a global branded food business, diversifying into categories that focus on health and sustainability. The purchase is expected to be completed by October 30.

The acquisition pre-empts the auction process for Quorn, which started earlier in September. Quorn is an international meat alternatives business, and is considered a great fit for Monde Nissin strategy. It also complements Monde Nissin's earlier acquisitions this year of Black Swan and Nudie, the leading brand of chilled dips and chilled juices in Australia, respectively.

The transaction represents the largest acquisition of a European target by a Philippine company. Monde Nissin intends to expand the brand into Asia, ultimately creating a US$1 billion business.

Quorn's chief executive Kevin Brennan describes Monde Nissin's acquisition as a great step towards its ambition to be the world's leader in meat alternatives. "They share our belief in the potential of Quorn, and provide capability to expand the brand into Asia," he says in a statement.

Monde Nissin's CEO Henry Soesanto says Quorn represents an important new leg in the company's product offerings. "We are excited by the growth potential of the global meat alternatives market, which complements our strategy perfectly," he adds.

Quorn was first launched in the UK in 1985. Apart from the UK, the key markets for its products - which include mince, chicken style pieces, meat-free pork steaks, BBQ pieces and tikka masala with rice - are Germany, Scandinavia, the US, Australia and South Africa.

Originally incorporated in 1980 as a biscuit manufacturer, Monde Nissin now sells products under its brands Lucky Me, Nissin, Sky Flakes, Voice, Bingo and Monde.

Monde Nissin was advised by Citi and Courtyard Hill, and legally represented by Linklaters. BDO Unibank, Bank of the Philippine Islands and Metrobank supported Monde Nissin in this transaction.

Exponent and ICG were advised by Houlihan Lokey, Perella Weinberg Partners and Spayne Linday and legally represented by Allen and Overy.