Kavli on added-value acquisition trail
The firm said the move signalled its belief that the goats milk sector was ripe for further growth, driven by consumers who were intolerant to cows’ milk.
Kavli, which makes cheese spreads, snacks and ambient dips under the Primula brand and also owns pâté maker Castle MacLellan, said the deal would enable it to expand its presence in the UK dairy market.
It would also boost turnover to more than £40M at the Norwegian company, which funnels profits from its commercial activities into global charitable causes.
Two manufacturing sites
Currently, Kavli UK employs 190 people across two manufacturing sites, one at Team Valley in Gateshead and the other at Kirkcudbright in south-west Scotland. Products are distributed to all major UK retailers, wholesalers and cash & carries.
“This acquisition is a major step forward for our business and demonstrates the confidence that the Kavli Group has in the UK," said Paul Lewney, md of Kavli UK. “... and as part of on-going strategy we will continue to look for opportunities that build our position in added value sectors of the dairy market in the future.”
The St Helen’s Farm dairy, at Seaton Ross in the Vale of York, has 40 employees and produces goats’ milk, cheese, cream, butter, yogurts and ice-cream for supermarkets across the country on a daily basis.
‘Good business fit’
“We believe that Kavli and St Helen’s Farm are a good business fit in terms of customers and markets and are also well-aligned in terms of culture and values,” said Lewney.
“Kavli’s unique ownership structure, long-term view towards value creation and the donation of our profits to good causes means that the business built up by Angus and Kathleen Wielkopolski is in safe hands ...”
Angus Wielkopolski added:“We’re delighted the St Helen’s Farm business has gone to a good home, particularly given Kavli’s charitable ownership. We are confident that the business will continue to grow and prosper in the capable hands of Kavli.”