ABP has acquired two Scotbeef sites, which will be incorporated into its UK meat division. The purchase is expected to be finalized by the end of July 2023. This move comes after Scotbeef announced plans to lay off more than half of its Wolverhampton-based staff members due to the loss of a contract with a major supermarket.
Group chief executive Frank Stephenson expressed excitement about the acquisition and emphasized the commitment to an effortless transition for suppliers, colleagues, and customers at the Queenslie and Bridge of Allan plants. ABP, a leading meat processor in Europe, has over 70 years of experience, with more than 40 years of operation in Scotland.
Operating across Europe, ABP employs over 13,000 colleagues and has divisions in Red Meat, Pet Foods, Renewables, and Proteins. The company reports a turnover of over €5bn (£4.28bn) and operates processing facilities in nine countries. This purchase by ABP aligns with a recent report by Oghma Partners, which revealed an increase in merger and acquisition activity in the food and drink industry, although the value of deals had fallen.
According to the report, more than 80% of deals were estimated at £10m or less, primarily due to the absence of middle to higher market deals during the period. Deals above the £50m mark accounted for only 6% of transactions, lower than the five-year historic average of 12.5%.
In other acquisition news, Around Noon, a food-to-go manufacturer, recently acquired The Soho Sandwich Company, creating a business with an annual turnover of £80m.
