FDBusiness.com

Premier Foods has completed the disposal of its loss-making Brookes Avana business, comprising RF Brookes chilled foods and Avana Bakeries, to 2 Sisters Food Group for £30 million in cash. Brookes Avana supplies chilled convenience products, including ready meals, accompaniments, chilled pizza and pies. Avana is one of the UK’s leading suppliers of high quality bakery, cake and dessert products. 

The disposal represents an important step in streamlining Premier’s portfolio and its strategy to focus investment behind eight ‘power brands’ and to dispose of selected businesses further enabling it to deleverage the business. The net sale proceeds (after estimated disposal costs of £1.8 million) will be used by Premier to repay bank borrowings.