Tate & Lyle: Conditional cash offer from Ingredion

Research evidence excerpt

Tate & Lyle: Conditional cash offer from Ingredion

Equity Research

European Consumer Staples

14 May 2026

Tate & Lyle

Conditional cash offer from

Ingredion First Look

Tate & Lyle has received a conditional 615p takeover proposal TATE.L/TATE LN EQUAL WEIGHT

NEUTRALfrom Ingredion, implying a >60% premium and ~9x FY27E EV/ EuropeanStaples Consumer

EBITDA. While this is below prior peaks, we see renewed M&A Price Target GBp 395

interest providing a clear floor for the shares, with Huber and Price (13-May-26) GBp 375 Potential Upside/Downside +5.4%

Source: Bloomberg, Barclays Researchantitrust key swing factors.

Tate & Lyle has confirmed it has received a conditional takeover proposal from US-listed European Consumer Staples

Ingredion (covered by Ben Theurer), valuing the group at up to 615p/sh (595p cash plus Alex Sloane

+44 (0)20 3555 0645potential dividends), equating to an equity value of c.£3.7bn. Discussions are ongoing following

alexander.sloane@barclays.com

several earlier approaches, though there is no certainty that a firm offer will be made. Under UK

Barclays, UK

Takeover Code rules, Ingredion has until 11 June to either announce a formal bid or walk away.

Warren Ackerman

The indicative price implies a >60% premium to yesterday’s close and values Tate at ~9x +44 (0)20 3134 1903

FY27E EV/EBITDA and ~14x FY27E P/E vs. 10-year averages of ~8.5x and ~13x, respectively. While warren.ackerman@barclays.com

we don't see this as an aggressive valuation in absolute terms, the proposal represents a Barclays, UK

meaningful uplift, given Tate’s recent operational challenges and depressed share price. Setu Sharda

+ 91 (0)22 6175 1934

Tate has been a notably weak performer over the last two years, with its shares materially off setu.sharda@barclays.com