VION Announces Successful Agreement For Sale of Red Meat and Poultry Activities
Dutch-based food producer VION NV has reached an agreement with Boparan Holdings Limited, the holding company for 2 Sisters Food Group, for the sale of its Red Meat and Poultry activities securing a viable future for these businesses.
05 Mar 2013 --- The announcement follows the strategic decision VION announced on 19th November that it was selling its UK food operations to focus on its core food activities in the Netherlands and Germany and its global ingredients business and the subsequent management buy-out of its UK Pork activities in January of this year.
Ranjit Singh, Chief Executive of 2 Sisters Food Group, said; “We are delighted to be acquiring VION’s UK’s poultry and red meat businesses. They have faced significant uncertainty and tough trading in recent months, but today’s acquisition secures a viable future. With the majority of the operations being in Scotland and Wales, we are delighted that the Scottish and Welsh governments are supportive of this deal and we look forward to working with them and developing a sustainable future for these businesses.
This acquisition will safeguard a key supply chain for high quality British poultry and meat, offering reassurance to farmers in England, Scotland and Wales and upholding the quality and provenance that UK consumers deserve.
At 2 Sisters, we put the customer at the heart of everything we do and in line with our customers’ strategies, these businesses will help us to shorten the supply chain for consumers and meet growing demand for British sourced food. Our immediate focus will be to improve performance, as we have successfully done with our previous acquisitions. We look forward to welcoming VION’s colleagues to 2 Sisters Food Group, and to working together to grow our business.”
Peter Barr, chairman of VION UK, said; "We are pleased to have reached such a positive conclusion to our discussions with 2 Sisters, one of the food sector's most successful and respected businesses. We would like to take this opportunity to thank all of our employees for their support and commitment to the business during these challenging times and to wish the 2 Sisters team every success with the newly-expanded operation."
Edwina Hart AM, Welsh Business Minister, said: “I welcome today's announcement that 2 Sisters is to acquire VION’s poultry and red meat businesses, which safeguards the future of their operations in Wales. We have been working closely with both VION and 2 Sisters to help secure this deal in order to sustain the future for the workers and the supply chain in Wales."
John Swinney MSP, Secretary for Finance, Employment and Sustainable Growth in the Scottish Government, said: "I welcome the decision by the 2 Sisters Food Group to buy VION. Today's announcement is a significant step forward and my officials and I look forward to working with 2 Sisters over the coming months in order to secure a sustainable future for the plants in Scotland. This is a time of significant opportunity in building the food sector in Scotland and the involvement of 2 Sisters assists that process"
VION continues to explore opportunities for its Welsh Country Foods business which is currently in a 90 day consultation process following its key customer delisting it as a supplier.
