Tulip, best known as manufacturers of pork and cooked meats, has purchased the Parkam portfolio, which includes Freshway Chilled Foods, Trophy Foods and Transfood, for an undisclosed sum.
The acquisition of Freshway Chilled Foods, with its strong presence in the sandwich market, will help significantly diversify Tulip’s portfolio.
Food business
A spokesman for Tulip told FoodManufacture.co.uk: “The purchase fits in with the company’s agenda. An acquisition like this puts the company in a strong position. The company is fully focused on moving more from a meat business into a food business.”
In addition to cooked meats, sandwiches and sausages, Parkam Foods also produces products based on beef, turkey and chicken.
Steve Murrells, ceo of Tulip added: “Tulip is already a strong supplier of high-quality products, but perhaps not necessarily with a sufficiently strong presence in the premium segment. This gap will now be filled by the acquisition of Parkam Foods.”
Asked about the impact on jobs, the spokesman said: “It is early days at the moment, but this is something that may change in the future.”
No further acquisitions are expected in the short term. But the spokesman said the firm was interested in moving into the beef and poultry markets.
2 Sisters Food Group
Tulip denied that its move into the sandwich market puts the firm on course to rival the 2 Sisters Food Group; one of the UK’s leading sandwich suppliers.
The firm said it would not face action from the Competition Commission, since it owned less than 5% of the beef and chicken market following the purchase.
Parkam Foods’ firms employ 750 people with estimated revenue for the current financial year of between £100M and £150M.
Tulip operates 17 sites across the UK
Meanwhile, Tulip was shortlisted twice in the 2011 Food Manufacturing Excellence Awards. It was shortlisted both for Meat and Poultry Manufacturing Company of the Year and Training Programme of the Year.
The awards were won by Becketts Foods and Nom Dairy respectively.