Panzani, Cerealis in talks to create €1.8 billion European food group

MILAN, Oct 16 (Reuters) - French pasta maker Panzani and Portugal's Cerealis are in exclusive talks to combine their operations in a deal valuing the merged business at about €1.8 billion ($2.03 billion), they said on Friday.

The proposed deal reflects a broader push for consolidation in Europe's food sector as manufacturers seek greater scale to cope with rising costs, strengthen their bargaining power with retailers and expand across regional markets.

• The deal would create a European food group with about €1 billion in annual revenue and nearly 1,800 employees, the companies said

• Panzani, which is controlled by private equity firm CVC, generated €620 million of revenue in 2025. Cerealis, controlled by its founding families and Belgian investment company Sofina SOF.BR, reported revenue of €400 million

• Panzani and Cerealis would remain headquartered in Lyon and Porto respectively and retain operational autonomy

• The merged group would be owned by Cerealis' existing shareholders, including the Moreira da Silva and Silva Domingues families and Sofina, alongside CVC Capital Partners, which would keep a minority stake

• Cerealis' Executive Vice Chairman Pedro Moreira da Silva would lead the combined group, while Panzani CEO Albert Mathieu would oversee Panzani and its Central European operations. Cerealis CEO Paula Meireles would manage its Iberian and international private-label business

($1 = 0.8887 euros)