Published on 21 - April - 2009
Cranswick Pet sold in £17m MBOPork products manufacturer sells pet food and aquatics division to management in a deal backed by Lloyds TSB.
Cranswick has announced the sale the division, which comprises Cranswick Pet Products and Tropical Marine Centre, to its management team for £17m.
The team is headed by Derek Black and Paul West and is backed by Lloyds TSB Development Capital - the private equity arm of Lloyds Banking Group.
Formerly known as George Bucktons, Cranswick Pet Products has been an established manufacturer of foods for birds and small animals for over 200 years. Its ranges include Cheeky Boy and Pretty Boy food for birds, as well as Nature's Feast for small animals and Buckton's food for cats and dogs.
Yorkshire-based Cranswick, known for its sausage and bacon brands, will still retain a 5.5% share in the business. The sale will help cut the company's net debt and allow it to focus on its core business following the acquisition of pork processing business, Bowes of Norfolk Ltd, which was announced earlier this month.
Cranswick chairman Martin Davey said: "Cranswick is now wholly focused on its food activities and will continue with its strategy to grow both organically and through acquisition as demonstrated by the recently announced acquisition of Bowes."
Trading for Cranswick Pet was up 5% in the company's Q4 trading update and generated £40m in 2008 - accounting for 7% of the total company sales.
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