Bakery ingredients supplier Orkla Food Ingredients has purchased 85% of the shares in sales and distribution company, Orchard Valley Foods Limited.
Through its wholly-owned subsidiary NIC Enterprises Limited, Orkla Food Ingredients has signed and completed an agreement to purchase 85% of the shares in the British sales and distribution company Orchard Valley Foods Limited.
Tenbury Wells-based Orchard Valley is a supplier of ingredients and accessories to the UK bakery, chocolate and ice cream market – most of its turnover is generated in the UK, but the company also has increasing exports to Europe.
Orkla Food Ingredients holds strong positions as a bakery ingredients supplier in the Nordic region and selected countries in Europe.
Pål Eikeland, Orkla EVP and CEO of Orkla Food Ingredients, said: “Orchard Valley Food and Orkla Food Ingredients are a good fit. The acquisition of Orchard Valley complements Orkla’s current position in the UK ice cream ingredients and accessories segment.
“It also strengthens our position in categories that are well known to Orkla Food Ingredients. This acquisition offers potential for increased exports and synergies with our present operations.”
Orchard Valley is a privately-owned company with 72 employees. The agreement also includes an option to purchase the remaining 15% of the shares. The company will be consolidated into Orkla’s financial statements from 1 April 2017. The parties have agreed not to disclose the purchase price.
No comments yet