June 12, 2007

UK's Real Good Food sells frozen fish business to British Seafood

UK's Real Good Food Company (RGFC) has sold its value-added fish unit, Five Star Fish, to British Seafood in a US$70 million deal. 

Five Star Fish generates annual revenues of around GBP30 million. Operating profit last year was GBP4 million, which was a-third of the parent company RGFC's group profit.

Commenting on the acquisition Mark Holyoake, chief executive of the privately-owned British Seafood, said that Five Star Fish would flourish under British Seafood's ownership.

The deal is expected to close this week.

Meanwhile, RGFC said it intends to use the proceeds from the sale to reduce group debt.