April 13, 2011
 

Findus is determined to enlarge seafood business

Findus, the seafood and frozen food group, which is the owner of Grimsby-based Young's, is determined to expand its seafood business.

Weekend reports said the group is to create a GBP1 billion (US$ 1.63 billion) war chest to buy up other food companies. Findus is owned by the private equity company Lion Capital and has confirmed that it has been in contact with a number of banks about a financial restructuring.

It will almost certainly have its eye on businesses in the seafood sector. Findus is traditionally known in the UK as the maker of crispy pancakes, but it is a diversified chilled and frozen food supplier.

Two months ago, its main business, Young's Seafood, underwent a significant corporate re-organisation with a pledge to continue a strong commitment to Grimsby, its principal production base. In Scotland, it owns Macrae and Pinney's of Scotland among others.

The plan brought together Young's Seafood, The Seafood Company and Findus UK to create Young's Seafood Limited as the UK's largest supplier of fish and seafood to retailers and consumers. Young's employs around 3,200 people in Scotland and England.
 

According the media, the Findus Group, which is owned by Lion Capital, has held talks with its lenders in a bid to free up funds for a renewed growth push. The company has asked its lending banks which include JP Morgan and Lloyds to ease the terms of its debt so it can expand.

There are certain to be new acquisitions in both seafood and general frozen food, as well as a move to streamline the Findus brand which is found throughout Europe, but is owned by separate companies in some countries.