Agri-services group Origin Enterprises has announced it is to acquire two separate Romanian-based agronomy and input-supply businesses, Redoxim and Comfert, for a combined €54.4m.

Redoxim, which is headquartered in Timisoara in western Romania, provides agronomy services and inputs to arable, vegetable and horticulture growers, and was founded in 1991.

Origin will acquire 100% of the business for a cash payment of €35m. For the 2014 financial year, Redoxim recorded sales of €53.6m, with an operating profit of €5.6m.

Geographic spread

Comfert, the second business that Origin is to acquire, is based on the opposite side of Romania, in the eastern city of Bacau. Origin will pay an initial fee of €19.4m for the business, however, additional fees may be payable based on the future performance of the company over the next five years.

The business recorded sales of €100.6m for its 2014 financial year, making an operating profit of €3.2m.

Both deals will be funded from existing bank facilities.

Disposal of Valeo stake

Origin has also announced the disposal of its 32% stake in Valeo Foods, the Dublin-based consumer foods group.

Origin said it had disposed of its stake for a cash payment of €86.6m to the London-based private equity firm CapVest, its partner in the business. CapVest will pay €42.5m for Origin’s 32% shareholding, with a further €44.1m for the settlement of a vendor loan note issued by Origin at the time of the formation of Valeo.