The West Flemish Mylle family’s potato processing business is reportedly seeking a strategic partner, according to a recent De Tijd article. Potatoes are processed by Mydibel into products like frozen fries, flakes, mashed potatoes, croquettes, rösti, and more. These are offered for sale under the Mydibel brand or the customers’ brand (private label).

“The potential candidates were recently surveyed about their interest in Mydibel. The shareholders of the potato processor engaged the investment bank ING and the law firm Stibbe for this,” the author wrote.

The media source focuses on the West Flemish potato processing firms Agristo and Clarebout, which are among the continent’s top exporters of frozen fries, as prospective qualified partners. Other competitors include the Dutch players Aviko (ranked in the top four in the world) and Farm Frites as well as the Canadian behemoth McCain’s subsidiary Lutosa.

The business is held by Bruno and Carlo Mylle, the two sons of Roger Mylle. They individually hold 40.4% of the company’s stock. 19.2% is owned by the Walloon investment corporation SRIW. When it helped the family group with its expansion plans in Mouscron, a little distance from the linguistic border, the public investor joined the team.

The SRIW is not the first outside investor to join Mydibel. The West Flemish Mylle family collaborated with the Dick family, a sector and local colleague, until 2009. Following that, they all took different strategic paths. The Mylles purchased the Dick family’s stakes in the Mydibel businesses Pomcobel (frozen puree) and Gramybel, and the Dick family purchased the Mylle family’s (38%) investment in the crisps manufacturer Roger & Roger (known for the Croky brand) (granules).

Mydibel’s revenue in 2021 was EUR260m, which was a return to pre-Corona crisis levels. Revenues are anticipated to increase to approximately EUR400m in 2022, while gross operating profit (EBITDA) is anticipated to reach almost EUR30m. A valuation of between EUR300m and EUR400m at the time of sale cannot be ruled out in light of Mydibel’s financial data.

The Belgian potato processors have not had an easy few years. Due to the corona crisis, the processing volume decreased by 4% to 5.1m tons in 2020. They are dealing with the effects of the war in Ukraine this year. Sunflower oil, one of the most crucial raw ingredients for potato processors, ran out as a result of this. They had to find other options. Frequently, it was palm oil. The severe drought that summer added to that. Our country’s potato processors anticipate a 17% decrease in crop this year as a result of the drought.