HULL-based food and gourmet sausage producer Cranswick has bought Dunbia’s Ballymena pork processing business in a multi-million pound cash deal, the terms of which have not been disclosed.
The acquisition was confirmed in a statement to the London Stock Exchange, on which Cranswick is listed.
"Cranswick has acquired the whole of the issued share capital of Dunbia Ballymena for cash," it said.
The move enhances Cranswick’s pig processing capability and establishes a significant presence in Northern Ireland.
Dunbia Ballymena, which processes 7,800 UK farm assured pigs each week, employs 360 staff, who are not expected to be affected by the takeover.
Last year Dunbia - founded by Jim and Jack Dobson - has a well-established supply chain with strong links to the local farming community. In the year to March past it reported sales of £72.4m.
Jack Dobson, executive director of Dunbia Ltd, will support Ballymena in a consultancy capacity to help ensure a smooth transition.
In its last trading year Cranswick reported revenues of £1,070 million and profit before tax of £58.7 million.
Cranswick chief executive Adam Couch said: "This acquisition strengthens our UK pork processing business and provides us with greater control over our supply chain, ensuring that we can maintain the production and processing of high quality, UK farm assured, pigs which is central to our customer's requirements.
"The management at Ballymena have created long lasting and sustained supply chain relationships and we look forward to building on this and continuing to invest in the facilities, and the team, over the years ahead.
"We welcome Jack and the team at Ballymena to Cranswick and look forward to working with them to develop the business further."
The transaction will be funded from Cranswick’s existing debt facilities and is expected to be earnings neutral in the current financial year and earnings enhancing in 2018.
