Tereos acquires Romanian sugar refinery to meet Eastern European demand

French sugar group Tereos has said it will acquire Romanian sugar refinery Ludus, calling it a foundation for development in Eastern Europe.

Sugar consumption in Eastern Europe is expected to increase significantly among industrial customers in the coming years, the company said.

Ludus produces 34,000 tons of beet sugar a year and Tereos said its location in Transylvania puts it in the heart of one of Romania’s best sugar-producing regions. It sources sugar from more than 500 producers who  work about 5,000 hectares of sugar beet, and Tereos said it would work with Romanian farmers to help develop more efficient beet-growing practices.

Tereos CEO Alexis Duval said in a statement: “Drawing on our agronomic and industrial expertise, as well as our presence in Central Europe for the past 20 years, we have definite assets that will contribute towards improved agricultural yields and the development of the Romanian sugar industry. With this investment, we now have a stronger position in one of the major European regions still importing large volumes of sugar”.

Financial terms of the deal were not disclosed, which is still subject to approval by relevant competition authorities. Tereos already has several European sugar refineries – nine in France and two in the Czech Republic.

No one from Tereos returned a call and email requesting further comment prior to publication.