Derry-based Foyle Food Group has bought a major abattoir and meat plant in the south west of England, saving 136 jobs in the process.
The company, which has its headquarters at Lisahally in Campsie, paid £4 million to buy Ensors in Cinderford, Gloucestershire, out of administration.
Administrators Will Wright and Mark Orton were called in on 6 September last and brokered the deal which saw the company’s business and assets, including a three-acre freehold site with 80,000 sq ft factory and plant, sold to the Derry company.
The deal was backed by the Ulster Bank through the Funding for Lending Scheme, which will also provide working capital.
“Ulster Bank was able to support Foyle Food Group’s first acquisition in England in August 2012, with the purchase of premises in Melton Mowbray, and we’re pleased to help the company continue to grow with this latest investment,” Corporate Banking Relationship Director at Ulster Bank, Damien Long said.
Will Wright, joint administrator and restructuring partner at KPMG, said: “After suffering cashflow problems due to the loss of a significant contract and investment in an acquisition that failed to deliver the anticipated benefits, this long established family business was unable to continue trading and a solvent sale was not possible due to the levels of debt in the business.
“The sale of the business via ‘pre pack’ has enabled the continued employment of all 136 staff and will mean work at the abattoir and processing plant will continue under new ownership.”
Foyle Food Group said it would use the site to service growing volumes of business with retailers across the UK and Europe.
Foyle Food Group, which is owned by the Acheson family, is one of Northern Ireland’s biggest meat processors.
Now in its fourth decade, the group has around 800 employees across its five sites – Foyle Meats, Omagh Meats, Donegal Meat Processors, Foyle Proteins and Hilton Meats, Cookstown.
The group processes around 260,000 cattle, specialising in slaughtering, deboning and rendering.
Tesco and McDonalds are among its customers.
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