Finnish meat processor Atria has signed a deal to buy the slaughtering, meat cutting and meat procurement operations of local food group Saarioinen.

Atria will gain ownership of Saarioinen's poultry production machinery and equipment, as well as the poultry production factory located in Sahalahti in south-west Finland. Financial terms of the deal were not disclosed.

Saarionen's Jyväbroiler trademark is also included in the agreement. Atria will also gain ownership of the machinery and equipment of the brand's slaughterhouse further north in Jyväskylä. 

Employees from Saarioinen's procurement, slaughtering and cutting operations will move to Atria as continuing employees. The company employs around 400 staff members.

The deal is expected to close in the first quarter of 2014 and is subject to the approval of the Finnish Competition and Consumer Authority.

Show the press release

Atria purchases Saarioinen's slaughtering, meet cutting and meat procurement operations

Atria has signed a preliminary agreement on the purchase of Saarioinen's slaughtering, meet cutting and meat procurement operations

Seinäjoki, Suomi, 2013-07-11 10:30 CEST (GLOBE NEWSWIRE) -- Atria Plc COMPANY ANNOUNCEMENT 11 July 2013 at 11.30 am

Atria has signed a preliminary agreement on the purchase of Saarioinen's slaughtering, meet cutting and meat procurement operations

Atria Plc and Saarioinen Oy have signed a preliminary agreement according to which Atria will purchase Saarioinen's procurement, slaughtering and cutting operations for beef, pork and poultry. According to the preliminary agreement Atria will gain the ownership of poultry production machinery and equipment, as well as the poultry production factory building and site located in Sahalahti in Kangasala. Jyväbroiler trademark is also included in the agreement. In addition, Atria gains the ownership of the machinery and equipment of Jyväskylä slaughterhouse. In connection with the deal, Atria and Saarioinen will sign a cooperation agreement concerning meat deliveries from Atria to Saarioinen.

The deal will increase Atria's cost-efficiency in meat procurement, slaughtering and cutting operations. The cooperation agreement will guarantee competitive long-term raw material deliveries to Saarioinen, possibly freeing up resources for processing operations.

The personnel of Saarioinen's procurement, slaughtering and cutting operations will move to Atria as continuing employees, and Atria will continue the industrial operations in Jyväskylä and Sahalahti. Business operations in issue have about 400 employees.

Atria's turnover is expected to grow by about EUR 70 million annually. The deal is expected to close latest in the first quarter of 2014.

The closing of the deal is subject to the approval of the Finnish Competition and Consumer Authority.

For further information, please contact Juha Gröhn, CEO, Atria Plc, tel. +358 400 684 224.

ATRIA PLC

Juha Gröhn

CEO

Original source: Atria