Belgian bakery group Vandemoortele has secured €100m ($118.01m) in funding to drive its expansion initiatives.
The company, renowned for its bakery products as well as margarines and spreads, is raising the funds through a mezzanine finance or subordinated loan from notable investors, including Tikehau Capital, the Belgian Resilience Fund, Flemish investment company PMV, and Welvaartsfonds.
According to a statement, the newly secured financing aims to “strengthen” Vandemoortele’s capital framework. This will enable the company to continue focusing on mergers and acquisitions within the bakery sector.
Furthermore, the funds will enhance the production capacity of the Ghent-headquartered company.
Herman Van Steenstraeten, the CFO of Vandemoortele, stated: “This mezzanine financing provided the final element in establishing a solid and diversified structure for financing our recent acquisitions.”
Founded in 1899, Vandemoortele reported a turnover of €1.98bn, along with an operating profit of €256m in 2024.
Its buy-and-build strategy has led to multiple acquisitions in the past eighteen months, contributing an extra €1.7bn to its turnover.
In March, Vandemoortele expanded its portfolio by acquiring bakery firm Délifrance, following the purchase of Bunge’s European margarine and spreads division and the Italian frozen bakery business Lizzi.
Last year, the company also acquired Italian bakery business Dolciaria Acquaviva and secured a majority stake in New Jersey-based Banneton.
Reporting its financial results for the first half of 2025 yesterday, Vandemoortele indicated that its revenue growth was supported by these acquisitions.
Yvon Guérin, CEO of Vandemoortele, remarked that the group “delivered solid growth despite a challenging market environment.”
He added, “The integration of recent acquisitions in Italy and the US drove revenue growth, while our teams focused on improving the product mix, investing in innovation, and managing costs.”
The company recorded revenue of €1.05bn, representing a 10.6% increase compared to the same period in 2024, thanks to the integration of Banneton, Dolciaria Acquaviva, and Lizzi.
However, the adjusted group EBIT stood at €70.2m, marking a decrease of approximately 22.51%.
Meanwhile, attributable group earnings after tax reached €16m, down approximately 72.4% from 2024.
Guérin concluded, “Although our bottom-line profitability was lower than last year, the investments and initiatives of the first half year 2025 lay the foundation for greater efficiency and long-term growth.”
He further noted, “The pending acquisitions of Bunge’s European margarines & spreads business and Délifrance will be transformative, broadening our product portfolio and enhancing our international presence.”