Duck specialist Gressingham Foods has formed a strategic partnership with French poultry giant LDC Groupe.
LDC is Europe’s largest poultry supplier, boasting an annual turnover of €6.3bn (approx £5.5bn), and is listed on the Euronext Paris Stock Exchange. The business employs 27,000 staff across 105 sites.
It has acquired a majority stake in Gressingham parent Green Label Holdings as part of the tie-up. The value of the deal was not disclosed.
The partnership would support LDC’s international strategy by expanding its UK presence alongside its existing Welsh subsidiary and growing European imports, the business said. “It is a pleasure to welcome such talented and dedicated colleagues to the LDC family as we join forces,” said LDC CEO Philippe Gélin.
He pointed to the “aligned values” of LDC, Gressingham and the Buchanan family, adding he was “excited about the opportunities this will create for consumers, customers, and our farming partners”.
Gressingham employs approximately 700 staff and operates from a processing facility in East Anglia.
“This is a proud moment for everyone at Gressingham, building on over 50 years of family values and tradition since our father Maurice started the business in 1971, said William and Geoff Buchanan, Gressingham group directors.
“Through the partnership, Gressingham will continue to invest and grow, allowing more people to make their meals memorable with our products.”
Birketts and Spayne Lindsay & Co advised Green Label Holdings (Gressingham Foods) and the Buchanan family on forming a strategic partnership with the French business.
“The Gressingham brand is a household name, and this deal ensures its continued success under a collaborative approach,” said Ed Savory, partner and head of food & beverages at law firm Birketts.
According to The Grocer’s annual Top Products report, Gressingham’s primary product, duck, has seen increased popularity this year with volume sales up 16.8% in the period, despite value seeing marginal falls of 0.2%.
“Duck declined in value sales this year, but pack sales remained strong, suggesting it remains a popular alternative,” said Lisa Rees, team leader – retailer services at NIQ.
“Pricing may have become too competitive,” she warned.
Gressingham said in March this year that a combination of increased marketing spend, “comprehensive” promotions and new listings had been driving a significant increase in sales.
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