JBT Corporation, a global technology solutions provider to high-value segments of the food and beverage industry, announces it signed a definitive agreement to acquire Prevenio, a leading provider of innovative food safety solutions primarily for the poultry industry. Prevenio, formerly known as CMS Technology, provides highly effective pathogen protection through its unique anti-microbial delivery solution that significantly enhances food safety and integrity, and creates a safer work environment for its customers and their employees. The acquisition of Prevenio will enhance JBT's recurring revenue portfolio and furthers its investment in solutions that support its customers' daily operations. The company is headquartered in Bridgewater, New Jersey, with a full-service lab in Bogart, Georgia specializing in microbiology focused on both field and R&D testing.
"JBT's investment in Prevenio furthers our support in the protection of our customers' brands and reputation by focusing on the prevention of foodborne illness. Prevenio's solutions ensure anti-microbial dosing precision and effectiveness with automated process controls, allowing it to provide a tailored approach to protect food and flavor profile. Prevenio further broadens JBT's non-equipment offering while helping customers protect against pathogen threats in their daily plant operations," said Brian Deck, JBT's President and Chief Executive Officer.
"In addition to the food safety and integrity benefits, Prevenio provides proprietary turnkey solutions to our customers and ensures the safe and effective delivery of anti-microbials. We are excited with the prospect of enhancing Prevenio's already strong growth profile by leveraging JBT's global customer base while also supporting the development of its solutions for non-poultry applications," said Paul Sternlieb, JBT's Executive Vice President & President, Protein.
The agreed purchase price is $170 million, before customary post-closing adjustments, and the transaction is expected to close early in the third quarter. Prevenio expects run rate annual revenue at the end of 2021 of approximately $50 million with EBITDA margins accretive to JBT FoodTech's Adjusted EBITDA margins. Including transaction-related costs and after purchase price accounting associated with the acquisition, the transaction is expected to have a minimal impact to GAAP earnings per share, and be accretive to Adjusted EPS by approximately $0.03 in 2021. In 2022, Prevenio is expected to be accretive to GAAP and Adjusted EPS by approximately $0.10.
More information about Prevenio can be found at www.prevenio.com.