Vion has finalised a deal for an MBO of its UK pork arm, which is among a series of assets in the country the Dutch food group is looking to sell.
The company today (13 December) confirmed UK private-equity firm Endless would back a management buy-out of the business, which supplies private-label pork products to retailers in the country.
Vion put its UK business up for sale last month, a market it said suffers from over-capacity in the meat sector and “extremely challenging” trading conditions.
Rumours management would buy the pork business had emerged in recent weeks. Seamus Carr, MD of Vion’s pork business unit, led the MBO and said the deal would “secure the future for our staff, our suppliers and give our customers a seamless transition”.
Carr said: “Our ambitions for the new business are firstly to maintain the excellent levels of service and product quality which have helped us secure orders from all the major supermarkets and then to build upon the opportunities in the marketplace to grow the business.”
Vion’s UK pork business has sites across England, Scotland and Northern Ireland. It also runs the McGees butchers business in Ireland.
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The deal, backed by Endless and struck for an disclosed sum, remains subject to the approval of Irish competition authorities.
Vion, which said it is still in talks to sell its UK poultry and red meat businesses, plans to focus on its Dutch and German operations, as well as its global food ingredients arm.