Caistor-based Cherry Valley Foods signs deal for takeover

Business
Business

Major duck producer Cherry Valley Foods of Caistor is to be taken over by Faccenda Foods, one of Britain’s largest suppliers of chickens.

The deal is expected to be signed off by the end of the year and will see the transfer of the slaughtering/processing/cooking facility at Caistor, the hatchery at Usselby and a number of owned and contracted farms in the area.

“The planned acquisition of Cherry Valley Foods will strengthen Faccenda Foods’ market position, as the only supplier of chicken, turkey and duck creating further opportunities for growth in all three areas across a broader customer base,” said a Faccenda company statement.

When questioned about any potential job losses following the deal, Faccenda told the Rasen Mail it “decided to acquire Cherry Valley because it is an efficient, profitable and complementary business which fits with our strategy in the poultry sector. Cherry Valley’s specialised services and assets are the drivers behind the acquisition. This deal isn’t driven to take out costs, it has been agreed because of the additional product range and the expanded offering Cherry Valley allows Faccenda Foods to offer its customers in future.”

No price has been put on Cherry Valley, which has a £45 million turnover and 320 staff, making it one of Britian’s top duck producers, processing seven million ducks a year.

Faccenda Foods is one of Britain’s leading food businesses, with a £400 million turnover and 3,000 employees in the poultry sector.

Local management at Cherry Valley did not comment on the deal, but farming media reports say its remaining business will focus on international duck genetics and breeding stock operations.