Danish Crown’s Swedish subsidiary KLS Ugglarps has purchased Ingemar Johansson, a local charcuterie company, for an undisclosed sum.
The meat processor says the deal marks a step towards its long-term strategy to grow in the highly processed products segment, particularly strengthening KLS Ugglarps’ position in the Swedish market.
Founded in the 1950s, Ingemar Johansson produces charcuterie such as falu sausage and chorizo, but with a particular focus on Swedish tradition and ingredients. In 2019, the Swedish firm reportedly had a turnover of approximately SEK 230 million (27.3 million) and 47 employees.
The acquisition – which has been approved by the Swedish competition authorities – is in line with Danish Crown’s 4WD strategy, which focuses on supplementing its position in slaughtering pigs and cattle with new activities in processing and breeding.
Following the deal, Ingemar Johansson will be integrated into KLS Ugglarps’ existing portfolio of charcuterie.
“Our company is entering a very exciting period. It was absolutely crucial for us to be able to transfer Ingemar Johansson to a company that works long-term,” said Stig Hansson, chairman of the board and co-owner of Ingemar Johansson.
Jais Valeur, CEO of Danish Crown, added: “Over the years, we have acquired several smaller companies in Sweden within processing and successfully integrated them into the existing setup. Our Swedish organisation has both the capabilities and the resources to continue on that path, so there is absolute perspective in the acquisition of Ingemar Johansson.”
KLS Ugglarps operates four slaughterhouses and two processing plants in southern Sweden. At the end of last year, Danish Crown announced an investment of around DKK 2 billion ($322 million) in its automation and production capabilities.
© FoodBev Media Ltd 2020
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