Added to YB: 2026-08-31
Pitch date: 2026-08-27
TATE.L [neutral]
Tate & Lyle plc
-0.18%
current return
Author Info
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Company Info
Tate & Lyle plc, together with its subsidiaries, engages in the provision of ingredients and solutions to the food, beverages, and other industries in North America, Asia, Middle East, Africa, Latin America, and Europe.
Market Cap
GBP 2.5B
Pitch Price
GBP 5.55
Price Target
6.15 (+11%)
Dividend
3.57%
EV/EBITDA
8.45
P/E
25.55
EV/Sales
1.70
Sector
Food Products
Category
special_situation
Tate & Lyle Stock Analysis: A Better Specialty-Ingredients Business, a Weaker Return on Capital, and a Takeover That Changes Everything
TATE.L (monitor): Tate & Lyle has shifted from a long-term specialty-ingredients thesis to a merger-arbitrage situation: Ingredion has offered 595p cash plus up to 20p of permitted dividends, with shareholder approval secured but antitrust and court conditions outstanding. CP Kelco broadened the portfolio and synergies arrived early, yet return on capital fell to 8% and net debt reached roughly £940M. If the deal fails, the key question is whether returns can exceed the cost of capital without relying mainly on cost cutting.
Read full article (4 min)