Move to Hold on Ingredion offer

Research evidence excerpt

Move to Hold on Ingredion offer

Deutsche Bank Group

Deutsche Numis Research

Rating Company Date

Hold Tate & Lyle 25 June 2026

Recommendation

Europe Change United Kingdom

Reuters Bloomberg Exchange Ticker Price at 24 Jun 2026 (GBP) 556.50

TATE.L TATE LN LSE TATE

Price Target (GBP) 595.00

Consumer Staples

Food Manufacturing ADR ISIN 52-week range (GBP) 569.00329.40-

TATYY US8765706077

Valuation & Risks

Damian McNeela

Spread to offer implies just ~11% potential upside Research Analyst

Following Ingredion's firm offer for Tate, the shares have risen to 556p. The implied +44-20-754-11565

spread to the full offer of 615p now stands 10.6%, and is ~7% below our 595p TP.

Daniel Tharian

As such we think that the risk reward dynamic has shifted to be more neutral and Research Associate

accordingly we move our rating from Buy to Hold. +44-20-7545-0195

Anti-trust issues remain a key watch-out Key changes

We note that the company has provided a relatively long time frame for completion Rating Buy to Hold ↓

of the deal, citing 2H 2027. Tate has identified eleven jurisdictions where it foresees Source: Deutsche Bank

potential anti-trust issues. These include the European Union, Brazil, Canada,

Price/price relative

China, Colombia, Mexico, South Korea, Tanzania, United Kingdom, United States

and Zanzibar. This list encompasses all of Tate's major trading markets. Our view is 1500

that any anti-trust issues are likely to be resolved with minimal impact on the overall 1000

business, and should not impact Ingredion's ability to drive the stated cost 500

synergies or returns from the acquisition. That said, given the long time line this will 0

remain a key area of debate / concern for investors. 2024 2025 2026

Tate & Lyle – (Rebased)

Other bidders unlikely

Performance (%) 1m 3m 12m