Lifecrown Ltd the owner of Fenmarc Produce, a fresh produce company that has interests in the Nottingham area, has acquired Pann Krisp for an undisclosed sum.
The combined business will employ nearly 1,000 colleagues and will have a turnover of £130 million - with Asda accounting for approximately 95 per cent of this.
Fenmarc is a supplier of fresh and further prepared produce to Asda, with a turnover of £100m from its three bases in Cambridgeshire and on the Notts/Lincs border. Pann Krisp supplies Ready to Cook products to Asda from its base in Wrexham, employing some 450 colleagues with a turnover of £30m.
Last year Pann Krisp won Asda’s ‘Innovator of the year’ award for its ongoing development of the Ready to Cook range.
Mark Harrod, managing director of Fenmarc, said: “I am delighted that we have been able to combine the skills of Fenmarc and Pann Krisp. Not surprisingly given our joint Asda relationships we have closely aligned cultures and values. We are determined to harvest the benefits of our enlarged organisation utilising our people and processes to give Asda even more of an edge in the retail sector. This is great news for colleagues, customers, and suppliers.”
Peter Hawkins, md of Pann Krisp, added: “Consumers will continue to look for convenient, fresh food alternatives and the two companies coming together means that we will be perfectly positioned to offer them the total meal solution. With our complimentary strengths we will continue on our path to becoming world-class supply partners."
The combined business will also be looking to maximise the utilisation of crops from their partnership growers by seeking out added value opportunities.
KPMG Corporate Finance in Nottingham originated the deal and advised Fenmarc.
Angela Spindler, Asda trading and marketing director, said: “This deal is fantastic news and a great opportunity for two of our best suppliers to raise the bar even further. We look forward to working with the newly formed company to bring hundreds of market leading products into store for our customers.”
The Ready to Cook market has enjoyed sales growth of over 25 per cent in the past few years and Pann Krisp is recognised as a major driver in this growth. Its ranges of meal solutions include raw meat that has been through minimal processing, resulting in the ingredients retaining much more of their original flavour and nutritional goodness.
Fenmarc also has a 49 per cent stake in another Welsh company Puffin Produce Ltd, based in Pembrokeshire, which exclusively supplies Welsh grown potatoes and brassicas to the 16 stores that Asda has in Wales.
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