Cranswick makes new acquisition
Meat and food manufacturer, Cranswick has acquired Katsouris Brothers Limited (Katsouris Brothers), a leading Mediterranean food products business for £43.5 million.
The purchase was announced in Cranswick’s first quarter trading statement.
Katsouris Brothers is a leading processor and multi-channel supplier of continental and mediterranean food products.
The business operates from two facilities in Wembley, North London and employs a total workforce of approximately 250.
Costas and Louis Constantinou, managing director and commercial director respectively will remain with the business.
For the year ended 30th June 2019 (unaudited), revenue for Katsouris Brothers was £68 million and adjusted EBITDA was £6 million.
Gross assets at 30th June 2019 were £30 million.
Katsouris’ heritage is in the Greek produce market and the business operates through the brand Cypressa. It also has a strong private label presence in the antipasti, Mediterranean and olive markets.
Supplying everything from Greek olives, olive oil, feta and halloumi cheeses to chickpeas (the base for humus), Katsouris also has a presence in nuts and grains and, according to Shore Capital, the acquisition could enable Cranswick to diversify away from meats whilst further strengthening its ties with major retailers.
The Cranswick Group states it continues to invest at record levels across its asset base to increase capacity, add new capability and drive further operating efficiencies, whilst maintaining industry leading standards at all its facilities.
Investment in the new £75 million poultry primary processing facility at Eye in Suffolk (above), which will more than double existing capacity, is reported to be progressing to plan.
Commissioning is expected to take place towards the end of the financial year and is being fast-tracked to support the anchor customer for the new site (Wm Morrison Supermarkets plc). This operation is the first new primary poultry plant to be constructed in the UK for almost 30 years and will, when fully commissioned, is set to be the most technologically advanced and efficient facility in the UK industry incorporating the highest animal welfare standards.