A combined team of Corporate, Banking, Commercial and Competition specialists from Burges Salmon has advised on the sale by Arla Foods amba of Crediton Dairy, for an undisclosed sum.
Burges Salmon advised the management buyout team, Taunton No.1 Ltd, which was led by former Milk Link chief executive Neil Kennedy and former Milk Link group finance director Tim Smiddy.
The sale of the Devon-based dairy was a condition required by the European Commission in giving approval for the merger in October 2012 of Milk Link, the British dairy cooperative and Crediton’s former owner, with Arla Foods amba.
The sale, which is conditional on the undertaking of TUPE consultation with employees (which has now commenced) and final European Commission approval, is expected to be completed by the end of June 2013. It has been financed by Lloyds Banking Group.
Burges Salmon’s legal team was led by corporate partner Alan Barr supported by associate Julie Book. Specialist advice was also provided by commercial partner Philip Davey, competition partner, Matthew O’Regan and banking partner Sandra Forbes supported by associate Victoria Allsopp.
The management buy-out team said the business has strong growth potential based upon its self-contained, well-invested manufacturing facility and growing customer base. The business will benefit from a milk supply agreement with Arla and in the longer term they will seek to recruit their own dedicated group of farmers.
Neil Kennedy said: “Crediton Dairy is well-positioned to play an important role in the fast growing and dynamic milk drinks sector - aiming to be a highly professional and progressive business. One focused on making great tasting, high quality products with demonstrable British provenance and traceability, complemented by customer service excellence, category insight and targeted new product development.”
Burges Salmon’s Alan Barr said: “As a firm we have extensive experience in the dairy sector, so it was very rewarding to combine that insight with the strength of our corporate and commercial expertise to help facilitate a smooth transaction."
The seller, Arla Foods amba, was advised by Ashurst. Partner Simon Beddow acted on the corporate aspects and Nigel Parr advised on competition.
Crediton Dairy has a milk processing capacity of 200 million litres and employs 117 employees at its site in Devon. Its product portfolio includes long life milk, long life cream, extended shelf life milk and flavoured dairy drinks and fresh bulk cream.
A combined team of Corporate, Banking, Commercial and Competition specialists from Burges Salmon has advised on the sale by Arla Foods amba of Crediton Dairy, for an undisclosed sum.
Burges Salmon advised the management buyout team, Taunton No.1 Ltd, which was led by former Milk Link chief executive Neil Kennedy and former Milk Link group finance director Tim Smiddy.
The sale of the Devon-based dairy was a condition required by the European Commission in giving approval for the merger in October 2012 of Milk Link, the British dairy cooperative and Crediton’s former owner, with Arla Foods amba.
The sale, which is conditional on the undertaking of TUPE consultation with employees (which has now commenced) and final European Commission approval, is expected to be completed by the end of June 2013. It has been financed by Lloyds Banking Group.
Burges Salmon’s legal team was led by corporate partner Alan Barr supported by associate Julie Book. Specialist advice was also provided by commercial partner Philip Davey, competition partner, Matthew O’Regan and banking partner Sandra Forbes supported by associate Victoria Allsopp.
The management buy-out team said the business has strong growth potential based upon its self-contained, well-invested manufacturing facility and growing customer base. The business will benefit from a milk supply agreement with Arla and in the longer term they will seek to recruit their own dedicated group of farmers.
Neil Kennedy said: “Crediton Dairy is well-positioned to play an important role in the fast growing and dynamic milk drinks sector - aiming to be a highly professional and progressive business. One focused on making great tasting, high quality products with demonstrable British provenance and traceability, complemented by customer service excellence, category insight and targeted new product development.”
Burges Salmon’s Alan Barr said: “As a firm we have extensive experience in the dairy sector, so it was very rewarding to combine that insight with the strength of our corporate and commercial expertise to help facilitate a smooth transaction."
The seller, Arla Foods amba, was advised by Ashurst. Partner Simon Beddow acted on the corporate aspects and Nigel Parr advised on competition.
Crediton Dairy has a milk processing capacity of 200 million litres and employs 117 employees at its site in Devon. Its product portfolio includes long life milk, long life cream, extended shelf life milk and flavoured dairy drinks and fresh bulk cream.
http://www.burges-salmon.com/Practices/corporate/News/10921.aspx
