Bakkavor Group, the UK-based provider of fresh prepared foods, has announced that it has acquired Haydens Bakery Limited from Real Good Food PLC.
The deal, valued at £12 million (€13.4 million), is subject to adjustment in relation to levels of working capital and net debt. This comprises £9.6 million in cash and £2.4 million of existing finance leases.
The transaction excludes Chantilly, a Devon based patisserie facility of Haydens, which produces hand-assembled frozen desserts.
Expanding Product Range
Agust Gudmundsson, chief executive officer of Bakkavor, said that Haydens shares the same passion as Bakkavor in terms of providing product and services to customers.
"This acquisition will grow both our capacity and product offering in the Desserts category, and we are delighted to be welcoming Haydens’ management and the wider team to our business, ” he added.
In May of this year, Bakkavor Group announced that its group revenues were up by 1.5% for the 19 weeks to May 12, year-to-year.
Bakkavor Group said that an investment of £15 million, made over the last 18 months, has transformed its bakery operations by adding significant capacity, expanding the existing footprint and upgrading equipment and infrastructure.
Established in 1976, Haydens Bakery Limited is one of the leading manufacturers of sweet bakery products for major UK grocery retailers.
The UK-based bakery operates out of two sites, located in Devizes in Wiltshire.
In the financial year ended 31 March 2017, Haydens generated £31.3 million of revenues, and was break-even at the operating profit level.
© 2018 European Supermarket Magazine – your source for the latest retail news. Article by Dayeeta Das. Click subscribe to sign up to ESM: European Supermarket Magazine.
