Breaking News on Global Meat Trading and Processing

Headlines > Financial

Read more breaking news



Scandi Standard to buy Irish poultry firm

Post a commentBy Aaron McDonald , 29-Jun-2017
Last updated on 29-Jun-2017 at 11:51 GMT2017-06-29T11:51:21Z

Irish poultry processor Manor Farm is to be taken over by Scandi Standard
Irish poultry processor Manor Farm is to be taken over by Scandi Standard

Nordic chicken group Scandi Standard has a reached an agreement to purchase Ireland’s largest chicken processor, Manor Farm, for €94 million (m). 

The family-owned Irish company had net revenues of €164m and EBITDA of €13m last year. The settlement will be a combination of six million Scandi Standard shares, an earn-out mechanism, cash and the assumption of outstanding interest-bearing debt.

Scandi Standard said that the Irish poultry processing market was similar to that of the Nordic countries. Both regions face a demand for domestic supply, with both consumer markets similar in size, population and gross domestic product.

“I am enthusiastic about the deal as Manor Farm satisfies all our acquisition criteria,” said Leif Bergvall Hansen, CEO of Scandi Standard. “The company has profitability in line with our existing operations, is well run and is the clear market leader in chicken in the Irish retail market.

“With its capable and experienced management team, the business can be run with a high degree of autonomy whilst additional steps, which have been identified, can be taken to capture the benefits of best practice. As many of our risks are country specific, the acquisition is also likely to reduce our earnings volatility through diversification.”

Manor Farm has approximately 130 farmers contracted as growers and 43 contracted as breeders. It also owns and operates a feed mill.

The Irish firm is run by brothers Vincent and Justin Carton, who are the eighth generation of the family in the business. They currently own 85% of the financial interest in Manor Farm and intend to stay on as Scandi Standard shareholders.

“In considering a succession of ownership for our family business, my brother Justin and I have been determined to find a partner that can continue to build on our strong relationships with customers, employees, suppliers and the broader communities in which we operate,” said Vincent Carton.

“As the next generation of Cartons have chosen to pursue other business interests, we set out to find a partner with high standards, a culture similar to our own and the capability to develop the business to its fullest potential. We believe that Scandi Standard is the ideal partner, and we are delighted to have agreed a transaction structure that allows the current management to remain fully in place and that also allows the Carton family to become shareholders in Scandi Standard.

“We believe that this arrangement will serve our customers, employees and suppliers well, and we look forward very much to the next chapter in the history of Manor Farm.”

Post a comment

Comment title *
Your comment *
Your name *
Your email *

We will not publish your email on the site

I agree to Terms and Conditions

These comments have not been moderated. You are encouraged to participate with comments that are relevant to our news stories. You should not post comments that are abusive, threatening, defamatory, misleading or invasive of privacy. For the full terms and conditions for commenting see clause 7 of our Terms and Conditions ‘Participating in Online Communities’. These terms may be updated from time to time, so please read them before posting a comment. Any comment that violates these terms may be removed in its entirety as we do not edit comments. If you wish to complain about a comment please use the "REPORT ABUSE" button or contact the editors.

Related suppliers