|
SPECULATION is growing that the private equity group Lion Capital may want to break up its Findus Frozen Food Group which also includes the Young's Seafood brand.
The Financial Times has exclusively reported that Lion Capital has been holding talks with two bidders to sell its Findus operations in Scandinavia so it can concentrate on its UK business which essentially means Young's and its ancillary businesses.
So far Lion Capital, which paid £1.1 billion for Findus in 2008, and Young's has declined to comment on the report, but if the move does happen it is certain to set a few hares running within the frozen and chilled seafood industry.
Earlier this year it was reported that Lion was in talks with bankers to create a £1-billion acquisition chest to expand its seafood activities. As well as the Young's brand – famous for its Chip Shop battered fish range and Admiral's Pie, of which 41m are sold every year – the company has significant white-label contracts with Waitrose, Marks & Spencer and J Sainsbury to provide fish, particularly salmon, for its chilled ranges.
Young's has recently recruited celebrity super chef Jamie Oliver to promote a new range of fish products with his name and photograph on the packaging.
Young's and its sister operation the Seafood Company currently employ around 3,000 people, mainly in Grimsby where it has its main base, and in Scotland where it has important smoked salmon and shell fish production facilities including an own label factory near Edinburgh.
Analysts are forecasting more consolidation in the seafood business which is seen to have a long term secure future because of an ever increasing population and demand for food.
Should people be 'stimulated' to eat white fish alternatives to cod?
