2 Sisters Food Group has agreed to sell part of its Fox’s Biscuits business to a ‘Ferrero-related company’ for £246 million.
Fox’s Biscuits is a British biscuit brand that produces household names such as Rocky Bars, Party Rings and Crunch Creams, as well as own-label biscuits and selection boxes for major retailers.
Under the deal, the Ferrero-related company will acquire the Fox’s manufacturing sites at Batley and Kirkham, UK, which primarily produce biscuits sold under the Fox’s brand.
Meanwhile, the third Fox’s site at Uttoxeter, which produces own-label biscuits, will remain under 2 Sisters’ ownership.
The formal completion of the transaction, which marks the second European biscuit acquisition in 12 months by a Ferrero-related company, is expected on 31 October 2020.
Ranjit Singh, president of 2 Sisters parent company, Boparan Holdings, said: “Fox’s Biscuits has always been an attractive brand, and as one of only two major independent biscuit makers in the UK, it is a prized asset in this market.
“We have listened to many interested parties over the years, but we have always been clear that Fox’s would only be sold to the right new home, at the right time and for the right value. This sale represents another significant deal for us, underlining our commitment to our business turnaround.
“It strengthens our balance sheet even further and shows we are following through with our promises to focus on our key strengths. I wish all colleagues at the two Fox’s Biscuits sites every future success with an ambitious new owner.”
Last year, 2 Sisters offloaded its Green Isle Brands frozen food business in an effort to strengthen its balance sheet.
© FoodBev Media Ltd 2020