A NORTH-EAST law firm was part of a team of legal advisors from across Europe and South America to advise on a $255m deal for a German food company.

Ward Hadaway joined lawyers from Belgium, Italy, Brazil, Mexico and Chile in advising Sudzucker about the acquisition of a substantial stake in British commodities trading company ED&F Man.

The deal saw Sudzucker buy nearly 25 per cent of the London-based firm, a worldwide provider of agricultural commodities such as coffee and molasses, and the world’s second largest sugar dealer.

Sudzucker is itself the global market leader in the traditional sugar business with 29 sugar factories and three refineries across Europe.

The group, which is based in Mannheim, formerly owned North-East confectionery specialist Sugarfayre before selling the cake decoration company in 2009.

The ED&F Man deal enables Sudzucker to access ED&F Man’s global trading network and provides a platform for further expanding its own business outside Europe.

For the UK firm, the deal strengthens its capital base and improves prospects.

A Sudzucker spokesman said: “Both partners see the transaction as a basis for greater cooperation.

“Sudzucker will bring to the table its industrial expertise and ED&F Man’s contribution will be its global position also outside the sugar business, with corresponding international contacts.

“Synergies will arise, especially in the areas of sugar production and refining, raw sugar procurement, logistics optimization as well as animal feed sales and distribution.”

The transaction is one of the larger deals to be handled this year by Newcastle-based Ward Hadaway.

Mike Spetch, a partner in the firm’s corporate department, who led the team working on the deal, said: “We are delighted to have advised Sudzucker. The transaction opens up a wide range of new markets across the world for Sudzucker and its products, and represents a significant investment by the group.”

As well as Ward Hadaway’s corporate team, the firm also called on its commercial, tax, employment and competition teams to work on the deal.

Mr Spetch said: “The size of the deal and its international nature meant we needed to call on the specialist expertise of our colleagues in Ward Hadaway, all of whom did a terrific job to ensure the deal progressed smoothly.

“The fact that we were chosen by Sudzucker to advise on such a significant transaction is a real seal of approval for the quality of the work which we can do and demonstrates we can really deliver on the international stage.”