US-based food company Conagra Brands has signed an agreement to sell its frozen pasta business, Gelit, to an Italian investment company for an undisclosed sum.

The investment company is owned by a consortium of investors including Consilum SGR, Progressio SGR and MMM, whose reference shareholder is Massimo Menna.

Under the terms of the definitive agreement, the investment company will acquire the entire equity interest owned by Conagra Brands in the Italy-based Gelit.

Completion of the deal is subject to customary closing conditions.

In January, Conagra announced that it was exploring strategic alternatives for its frozen pasta business.

Gelit produces Italian frozen food and ready meals, primarily for private label customers.

With a workforce of 145 employees, the business operates a facility located in Doganella di Ninfa and supplies products to a broad range of international customers.

For this deal, BNP Paribas acted as the sole financial advisor to Conagra Brands, and Jones Day served as its legal advisor.

In February, Conagra Brands unveiled plans to expand operations at its Beaver Dam facility to support its frozen vegetables brand Birds Eye.

Conagra Brands announced an investment of approximately $78m, which will be used to upgrade and expand the current 350,000ft² cold storage and vegetable packaging facility on Green Valley Road that supports Birds Eye’s frozen vegetable operations.

The company also received support from the Wisconsin Economic Development Corporation (WEDC), which has authorised up to $750,000 in state income tax credits over the next five years.