Royal De Heus strengthens position in Spain with acquisition of Evialis Galicia

29 Nov 2019

On November 29th 2019, Royal De Heus signed the agreement for the acquisition of the Spanish compound feed plant Evialis Galicia from Archer Daniels Midland Company (NYSE: ADM). With a volume of more than 50,000 tonnes of compound feed annually, Evialis Galicia has a leading regional position in northern Spain. The acquisition is consistent with De Heus’ strategy to strengthen its position in the large Iberian animal feed market.

Evialis Galicia, located in Sada (near A Coruña), was founded in 1974 by a collaboration of pig farmers to produce feed for their own sows. Currently, the company offers a complete assortment of compound feeds for multiple animal categories, with a focus on feed for dairy cattle and rabbits.

The activities and market approach of Evialis Galicia and De Heus are highly consistent with each other. Like De Heus, Evialis Galicia focuses mainly on the open feed market. Within this market, both De Heus and Evialis Galicia sell their products to farmers directly as well as via a dealer network.

In order to comply with the high quality standards of De Heus, an investment program will be started resulting in optimizations and improvements in the production process. “We are pleased with this acquisition. The take-over underlines our ambition to further reinforce our market position in Spain. This new plan enables us to improve our logistic service for customers in this region”, said Jean François Honoré, general manager De Heus Iberia.