Tate & Lyle Share News (TATE)

(Alliance News) - Tate & Lyle PLC on Tuesday said that the integration of CP Kelco Ltd is progressing smoothly, with the two companies now operating as a single business unit since April 1.

Tate is a London-based company which supplies food and beverage products to food and industrial markets. It noted that its 2025 financial year results, as well as its fourth-quarter results, are expected to be in line with existing guidance.

In June 2024, Tate bought pectin and gums business CP Kelco for USD1.8 billion.

"We are confident in delivering the targeted run-rate cost synergies of US$50 million by the end of the 2027 financial year, and for more than 50% of these to be delivered by the end of the 2026 financial year," the firm added.

Excluding CP Kelco, Tate also expects its 2025 financial revenue to decline by 5%. Earnings before interest, taxes, depreciation, and amortization are expected to be 4% higher.

Tate has said it will release its full-year financial 2025 results on May 22.

Chief Executive Nick Hampton said: "Notwithstanding the uncertain macroeconomic environment, we are confident in the medium-term growth potential of the business we have created and are focused on delivering the benefits of the combination with CP Kelco and accelerating topline growth."

Tate shares rose 4.4% to 525.50 pence in London on Tuesday afternoon.

By Olivia Mason-Myhill, Alliance News reporter

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