LONDON — Tate & Lyle PLC said Thursday it is selling its European sugar refining business to American Sugar Refining Inc. for 211 million pounds (US$314 million) in cash as it focuses on producing ingredients for industry.
American Sugar Refining, based in Yonkers, New York, is buying cane sugar refineries in London and Lisbon, the Lyle’s Golden Syrup factory in London, the associated sugar and syrup brands, and the Tate & Lyle Process Technology consulting business.
Tate & Lyle shares were up 0.9 per cent to 453.7 pence in early trading on the London Stock Exchange.
“A very welcome move by Tate at a good price, without leading to any material change to earnings forecast,” said Graham Jones, analyst.