Another Spanish acquisition for De Heus

By Jane Byrne contact

- Last updated on GMT

© GettyImages/tupungato
© GettyImages/tupungato

Related tags: Spain, dairy cattle

De Heus has announced the acquisition of the Spanish compound feed plant, Evialis Galicia, from Archer Daniels Midland Company (ADM).

The deal, said the Dutch group, is in line with its strategy to strengthen its position in the large Iberian animal feed market.

Evialis Galicia, located in Sada in northern Spain, was founded in 1974 by a collaboration of pig farmers to produce feed for their own sows. The company has production volume of more than 50,000 tons of compound feed annually, targeting multiple animal categories, but with a focus on feed for dairy cattle and rabbits.

Evialis Galicia focuses mainly on the open feed market, sell its products to farmers directly as well as through a dealer network, said De Heus.

The Dutch feed manufacturer is to invest in the plant to optimize production processes.

A spokesperson told FeedNavigator that revamp will cost around €3.3m and is expected to last around two years.

Big player in Spain

De Heus now has an extensive network of feed production facilities in Spain in its ambition to become a dominant feed player on the Iberian Peninsula. Its feed production capacity in that region now tops one million tons, said the spokesperson. 

The group first entered the Spanish market in November 2015, when it acquired leading Iberian feed producer, Nuter, from a private equity group. That deal included the 12 plants operated by Nuter across Spain and Portugal with the production sites strategically located near the biggest livestock farming areas.

In March 2017, De Heus bought Spanish compound feed manufacturer, Acorex, which expanded its footprint in the region of Extremadura, where cattle farming is strong, while, in early 2018, it bought, Piensos Unzué, based in Navarra.

The Dutch group also has facilities in Aranda de Duero (Burgos), Benavente (Zamora), Colloto (Asturias), Porriño (Pontevedra), Llerena (Badajoz), Lugo, San Pedro de Nós (A Coruña), Silla (Valencia), Talavera de la Reina (Toledo) and Ubeda (Jaén). 

Active in Asia as well, we reported yesterday on the opening of the third feed factory​ for De Heus in Myanmar, this time a facility focused on the aquaculture space. 

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