Danish pastry firm buys Eurobuns

Eurobuns, the Milton Keynes-based bakery, has been acquired by Danish pastry specialist Lantmännen Unibake for an undisclosed sum in a move that will give the company its first production facilities in the UK.

This is the third and largest acquisition this year for the supplier of frozen bread products. It will also open the door to the frozen bread market in the UK, in which Eurobuns has a strong position and claims to control around 50% of the market in the fast food sector. It is looking for growth of around 10% a year.

"The British market is very promising," said Bent Pultz Larsen, chief executive of Lantmännen Unibake. "Thanks to our successful partnership with Bakehouse, Great Britain is today our third largest market for Danish pastry. The acquisition of Eurobuns will make Great Britain our largest market by far."

Eurobuns, founded in 1997, operates seven bakery lines. It forecast net sales of £46M for the current financial year and employs more than 400 people. Besides fast food bread, it makes baguettes, sandwich products, scones and donuts for foodservice and retail. Lantmännen plans to build a further production line for pastry at the plant.