Delivered wholesale business Kitwave has agreed a £29m deal to acquire WestCountry Food Holdings, a specialist fresh produce wholesaler to the foodservice sector.
WestCountry operates in the South West of England and works with a network of local produce growers. It also has direct supply links with national and international fresh produce markets.
WestCountry reported turnover of £29.7m and a pre-tax profit of £3.9m over the year to 1 January 2022.
The company will be incorporated into Kitwave’s existing Foodservice division which currently comprises the trading operations of H.B. Clark & Co., David Miller Frozen Foods, and M. J. Baker Foodservice.
Paul Young, Chief Executive Officer of Kitwave, commented: “The acquisition of WestCountry enables us to expand our product range to include high-quality fresh produce and complements our existing foodservice offering in the South West, following the acquisition of M. J. Baker earlier in 2022.
“We are delighted to welcome the WestCountry team to Kitwave and look forward to successfully integrating the business into the Group’s Foodservice division and further extending our nationwide reach.”
He added: “The group continues to trade well and despite wider macroeconomic pressures, the Directors believe the outlook remains positive. We look forward to updating shareholders further on our progress.”
NAM Implications:
- Consolidation is inevitable in unprecedented times.
- Therefore suppliers always need to anticipate possible combinations of rival customers…
- …in terms of prices & terms disparities.
- And harmonise before you are harmonised…
