February 4, 2014

 

ForFarmers acquires HST Feeds Ltd

 

 

ForFarmers has acquired 100% of the shares of HST Feeds Ltd. for about US$20.3 million, based on an enterprise value of €15 million (US$20.3 million) including cash.

 

Based in Crewe, Cheshire, the United Kingdom, HST Feeds Ltd sells approximately 140,000 tonnes of ruminant and poultry compound feed to customers throughout the North West. It will operate within BOCM PAULS, the UK Company of ForFarmers.

 

Iain Gardner, chief operating officer of ForFarmers said, "As we have seen in other parts of the country, the livestock sector in the North West has consolidated over recent years and is now characterised by committed, professional producers.  ForFarmers will continue to play its leading role in the consolidation of the animal feed sector, both in the UK and in continental Europe. We have to ensure that we remain competitive by improving efficiency and continually innovating in all areas of the business. We will utilise the innovation from both HST Feeds Ltd and ForFarmers and use the best of both for the benefit of our customers in the future".

 

Tom Hiley, managing director of HST said, "It is clear to me that with the increasing demands of the retailers, coupled with the requirement to keep a tight control on costs that we need a like-minded partner to meet the challenges ahead. Synergies will allow us to utilise the best of both businesses for the benefit of our current and future customers". 
 
"By combining our local knowledge with the resources of ForFarmers, I believe we will be better placed to meet these challenges and support the business activities of tomorrow's dairy and poultry farmers in the North West", Hiley added.

 

"It is clear that consolidation in the food and farming sector is accelerating and consistent with ForFarmers growth strategy. We will look for opportunities to develop our business for the long term by growing our presence and extending "The Total Feed Business" approach to an even wider customer base in our key markets", said Yoram Knoop, chief executive officer of ForFarmers.

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