PE-Backed Sterigenics Acquires Food Technology

Private equity-backed Sterigenics International LLC is buying Food Technology Service Inc. (Nasdaq: VIFL) for $20.5 million.

Food Technology, headquartered in Mulberry, Fla., provides sanitation services to the medical device, packaging and food industries through gamma radiation. CEO Richard Hunter and Fort Ashford Holdings LLC, a California private equity firm, which own about 30 percent of the company’s shares, have agreed to vote in favor of the deal.

Deerfield, Ill.-based Sterigenics provides outsourced sterilization services, primarily to the medical device and food industries. The company is backed by private equity firm GTCR, which invests in financial services, technology, health care and information services companies. The Chicago firm has invested more than $10 billion.

The deal works out to $7.23 per share in cash. Food Technology’s shares opened at $6.12 on Dec. 6, when the deal was announced.

Craig-Hallum Capital Group LLC is acting as Food Technology’s financial adviser, while Olshan Frome Wolosky LLP is providing legal advice to the company’s special committee. Burr & Forman LLP is acting as Food Technology’s legal counsel, while Holland & Knight LLP is Sterigenics’ legal adviser. 


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