Finnish meat processor Atria has acquired full control of local contract manufacturer Domretor having taken a minority stake in the ready-meals business seven years ago.
Domretor, based in the town of Kauhava, southern Ostrobothnia, sold a 24.9% stake to Helsinki-listed Atria in 2013 but the latter has now acquired the remaining shares in the company for an undisclosed sum.
The co-manufacturer supplies private-label products and also its own branded line-up in areas such as potato-based ready-meals, soups and sauces and vegan offerings for the retail and foodservice channels.
Atria operates in the Nordic countries, Russia and Estonia producing beef, pork, chicken and turkey products for retail, out-of-home and food industry manufacturers, including ready-meals. In 2019, the company generated sales of EUR1.45bn (US$1.7bn) and EBIT of EUR31.1m.
“We have been very satisfied with the long-term cooperation with Domretor, where the flexible operating method and expertise of a small player have been able to be utilised effectively,” Mika Ala-Fossi, the president and CEO of Atria’s Suomi subsidiary, said in a statement.
Domretor, which employs 70 full-time workers, will continue to operate independently.
Åsa Alanko, CEO of Domretor, added: “Atria’s customer channels and the support of a large company strengthen Domretor’s position in the market. It is important to us that the company’s operations continue and that jobs remain in Kauhava.”