Greencore to Dispose of Dutch Convenience Food Business
Greencore Group is selling its Netherlands-based convenience foods business, Greencore Continental, to Convenience Foods Europe, a subsidiary of Parcom Buy Out Fund IV.
Greencore Continental supplies sandwiches, chilled pizzas and chilled sauces to customers based in Continental Europe. It operates from two facilities located at Liessel and Alphen in The Netherlands. The turnover of Greencore Continental was Eur58.2m for the year ended 25th September 2009 and the net assets of the business were Eur12.7m at that year end date.
Partrick Coveney, chief executive of Greencore.
The Disposal requires prior consultation with the relevant Works Councils as well as regulatory approval from the Netherlands Competition Authority. Completion of the deal is expected to occur on or before 30th August 2010. The proceeds will be used to reduce Greencore’s net debt.
According to Partrick Coveney, chief executive of Greencore, the disposal is in line with the group’s strategy of developing an industry leading position in convenience foods in the UK supplemented by a growing convenience foods business in the US. Greencore is one of the UK’s largest manufacturers of convenience foods.
