Atria, the Finland-based meat processor, is to buy Swedish poultry group Lagerbergs.
The deal, announced today (11 March), comes two months after a sale of Lagerbergs to fellow Swedish poultry processor Scandi Standard was blocked by the country’s competition watchdog.
The takeover of Lagerbergs would mark Atria’s entrance into the Swedish poultry sector. Demand for white meat in the country has “increased steadily in recent years”, Atria said, with retail sales growing 7% in 2015.
Lagerbergs has a production plant and its own chicken-rearing facility in Blekinge. Atria has said it is the third-largest supplier on the Swedish chicken market.
The deal is expected to increase Atria’s net sales by approximately EUR30m (US$33m). Last year, Atria cut sales, marketing and logistics jobs from its Swedish operations.
Scandi Standard’s attempt to buy Lagerbergs was blocked with the Swedish competition authority announcing it had concerns the deal would lessen competition in the Swedish market.