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LION Capital, the private equity owners of Young's Seafood and Findus, have swooped for the French frozen food firm Picard Surgeles.
Picard Surgeles sells a wide range of retail seafood including salmon from UK, Ireland Norway along with haddock, cod, skate, shellfish, sardines, and monkfish tails and ready made fish dishes. It fits well with Young's and Findus who also source fish from many different countries.
The present owners, the private equity group BC Partners has agreed the sale for a reported 1.5 billion euros (about £1.25 billion sterling).
Lion are reported to have paid 1.5 billion euros (£1.25 million sterling) for the business. It is expected that the deal - the latest in a number of recent seafood transactions - will be finalised by the fourth quarter and it is subject to approval by European competition authorities.
For Lion the new acquisition will go some way towards making up for the disappointment of losing out on Findus Italy which was bought by Permira, owners of Birds Eye Iglo frozen foods and the world's largest fish finger producer. Picard Surgeles produces exceptionally high quality seafood and has managed to win over many new French consumers who are normally tend to look down on frozen food, preferring to get their fish from traditional town markets. But French tastes are changing with frozen food and American style fast food becoming more popular.
Picard stores are found throughout Paris and are even sometimes highlighted by estate agents among a property's local amenities in the same way that Marks & Spencer or Waitrose might be seen in Great Britain. Two weeks ago Young's chief executive Mark Escolme signalled a European expansion for the group when he addressed the Humber Seafood Summit. Picard Surgeles may be just the start.
Lyndon Lea, Partner of Lion Capital, said: “Picard has established an enviable position within the frozen category by delivering consumers high quality food products with superior taste and nutritional characteristics at attractive price points. Throughout the economic cycle, the company has driven consistently strong financial performance by offering a high quality and convenient alternative to fresh food, underpinned by a strong emphasis on product innovation."
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