Two own-label chilled foods businesses have stuck up a for sale sign.
Senoble UK, a chilled desserts manufacturer owned by French dairy firm Senoble International, and Freshpak, a sandwich filling producer backed by Irish investor Jaguar Capital, appointed advisers at Rothschild and Spayne Lindsay respectively to secure buyers.
Both companies are expected to have a price tag of £25m-£30m, with trade players a more likely home than private equity, say City sources - though Endless showed its appetite for own-label deals by acquiring cake supplier Bright Blue Foods this month.
Senoble UK, which has revenues of £69m and supplies all major grocers, as well as Aldi, Lidl and Iceland, is attracting interest from Bakkavor, Müller, Adelie and Greencore, along with private equity firm Endless.
“There are lots of chilled players looking to diversify and there is only so far they can go with their current categories,” sources added. “Senoble would broaden the offering while still dealing with the same customer base.”
Senoble also has a foodservice arm.
Freshpak, founded in Barnsley in the 1980s, dominates the sandwich fillings category in the UK, dealing with all the major supermarkets, as well as operating in the convenience market and in the B2B sector. It had turnover of £55.7m and EBITDA of £2.8m in 2013.
There has been “a lot of interest and offers” for the asset, with a mixture of trade and PE, dealmakers said. “Bakkavor, Adelie or Greencore have a real opportunity to ramp up Freshpak’s involvement in food to go, particularly across coffee shops.”
The separate deals could complete as soon as the next four to five weeks, sources added.
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