October 2, 2007

UK pork company merges with Danish Crown subsidiary

UK pork processor Geo. Adams and Sons, an established British brand, is merging with Tulip, Danish Crown's UK division.

Both companies have agreed to combine the businesses, creating one of the UK's strongest meat groups, with annual sales of GBP 1.2 billion (US$2.45 billion).

The new group will be called Tulip Ltd, with Geo. Adams and Sons operating as a division within the group. The latter will retain brand identity.

Geo. Adams and Sons comprises mainly of its fresh meat business and Adams Pork Products Limited, the prepared foods and sliced cooked meat business.

Tulip has made significant investments in the UK in recent years, in both production and processing sectors.

It purchased UK integrated pig production company BQP three years ago, which gave the company a sizable share of the outdoor-bred pork market.

Besides fresh meat, the group now also offers bacon, cooked meats and other processed products.

Carsten Jakobsen, Chairman of Tulip Ltd, will Chair the Board of the new group and Mark Adams, Chief Executive of Geo. Adams & Sons, will become an Executive Director and join the main Board.

The acquisition is expected to be completed by the end of November this year.