This is an updated version of the report published on December 29, 2025, at 11:35 AM GMT

Tate & Lyle PLC (LSE: TATE) is an FTSE 250 listed food producers’ Company having an international footprint. TATE was founded in 1903 and is headquartered in London, the United Kingdom. It provides solutions and ingredients for food, beverage, and industrial markets.

Key Investment Rationale – Buy at GBX 376.20

• Synergy Delivery Ahead of Schedule: Cost savings from the CP Kelco merger are materializing faster than expected. The company has already achieved a USD 30 million run-rate and now expects to exceed its USD 50 million target by FY2027, demonstrating integration execution.
• Sturdy Cash Generation and Capital Discipline: The business model remains highly cash-generative, producing £98 million in free cash flow with a 71% conversion rate. Management is deploying capital prudently, focusing on deleveraging while still increasing the interim dividend.

• High-Value Growth Pipeline Expanding: The strategic logic of the merger is confirmed by a rapidly growing commercial pipeline. The cross-selling pipeline doubled in Q2 to ~USD 60 million, and the total new business pipeline reached USD 420 million, signalling strong future revenue potential.

• Increased Productivity Targets: Operational efficiency is a core strength. The company has raised its 5-year productivity savings target by USD 50 million to USD 200 million, having already delivered USD 21 million in H1. This provides a structural buffer for margins. 

TATE Daily Chart & Valuation

One Year Technical Price Chart (as of December 29, 2025). Source: REFINITIV

For conducting the valuation, the following peers have been considered: Hilton Food Group PLC (LSE: HFG), M P Evans Group PLC (LSE: MPEL), etc.

As per the above-mentioned price action and technical indicators analysis, a ‘Buy’ rating has been given on Tate & Lyle PLC (LSE: TATE) at the Current Market Price of GBX 376.20, as of December 29, 2025, at 08:12 AM GMT.

Markets are trading in a highly volatile zone currently due to certain Macro & Micro-economic data and prevailing geopolitical tensions. Therefore, it is prudent to follow a cautious approach while investing.

Note 1: Past performance is not a reliable indicator of future performance.

Note 2: The reference date for all price data, currency, technical indicators, support, and resistance levels is 29 December 2025. The reference data in this report has been partly sourced from REFINITIV.

Note 3: Investment decisions should be made depending on an individual's appetite for upside potential, risks, holding duration, and any previous holdings. An 'Exit' from the stock can be considered if the Target Price mentioned as per the Valuation and or the technical levels provided has been achieved and is subject to the factors discussed above.

Note 4: Target Price refers to a price level which the stock is expected to reach as per the relative valuation method and/or technical analysis taking into consideration both short-term and long-term scenario.

Note 5: ‘Kalkine reports are prepared based on the stock prices captured either from the London Stock Exchange (LSE) and or REFINITIV. Typically, both sources (LSE and or REFINITIV) may reflect stock prices with a delay which could be a lag of 15-20 minutes. There can be no assurance that future results or events will be consistent with the information provided in the report. The information is subject to change without any prior notice.’

Note 6: Dividend Yield may vary as per the stock price movement.