Name of the new company will be announced when the deal is closed
Cargill and Faccenda Foods have agreed to establish a joint venture to create a leading U.K. food company focused on chicken, turkey and duck. The new company will have the capability to respond to changing customer needs in the retail and food service sectors with a strategy for growth.
Cargill’s fresh chicken business in the U.K. is going to join Faccenda’s fresh chicken, turkey and duck business to form this new company. The new joint venture will be a standalone business, with Cargill and Faccenda taking an equal shareholding. It brings together two complementary businesses with a track record of success, shared values and a strong reputation in the U.K. poultry market.
The formation of this joint venture is subject to clearance by the relevant regulatory authorities, and the name of the company will be announced at the closing of the deal.
Leadership for new company
Andy Dawkins, managing director for Faccenda Foods, will be appointed chief Executive Officer of the newly formed company. Chris Hall, fresh chicken director for Cargill Meats Europe, will be appointed chief commercial officer of the new joint venture.
Employees will come from both parent companies
The new business plans to employ approximately 6,000 people in the U.K., with employees coming from both parent companies. It will operate across multiple agriculture and operational centers, with broad capabilities that span the supply chain focused on operational excellence and customer focused partnerships.
“We believe the two organizations are complementary. Combining into one entity allows us to build on our strengths, grow in the market and better serve our customers. The venture will facilitate greater opportunities to innovate and deliver new and exciting poultry products for consumers,” explained Chris Langholz, president of Cargill Poultry.
Ian Faccenda, CEO of Faccenda Investments, continues, “Both Cargill and Faccenda are recognised today by their customers for their high standards and great service. The new joint venture confirms our long-term commitment to being a responsible partner across the entire supply chain, providing stability and security to our customers, suppliers and growers for years to come.”
“This is an exciting time,” Faccenda added. “We are bringing together talented people from both businesses with complementary values and expertise, and giving them the opportunity to develop and be successful in a new business with the capability to grow.”
Operations external to joint venture
Separate to this joint venture, in the U.K. Cargill will continue to process and sell cooked poultry products in Balliol, Wolverhampton, as well as operate its poultry import, trading and distribution business. Cargill will also continue to operate its European poultry businesses in France, Russia and the Netherlands. Faccenda will retain its shareholding in Dartmouth Foods.