Chaucer acquired by Japanese firm in £95M deal

Food ingredients manufacturer Chaucer has been acquired by a Japanese instant food producer and distributor, in a deal worth more than $120M (£95.4M).

The deal with Nagatanien will allow Chaucer to expand into new and existing global markets, according to the company.

The Tokyo-based firm produces instant and freeze-dried Japanese food, including sushi seasoning, fried rice and noodles.

The acquisition also opens opportunities for Nagatanien to expand into the UK market and gain access to clean-label products.

Chaucer’s current management team will be retained and ceo Andy Ducker will continue to lead the group.

Continue to lead

Ducker commented: “[Nagatanien] are a longstanding business and the leading brand in the Japanese market for premixed, instant and freeze-dried food.

“From inception, Nagatanien’s corporate philosophy … is perfectly aligned with our own attitude of producing healthy ingredients to meet the growing trend towards healthy eating and nutrition.

Ducker said he anticipated there would be cross-selling and growth opportunities for both parties and looked forward to working with the Nagatanien team.

The deal comes after Chaucer posted a 17% increase in sales and 20% growth in profits over the past year to October, driven by expansion into the US.

New product innovation

The Hull-­based firm said new product innovation in its freeze-­dried produce offering helped build new contracts in Europe and Asia with a number of food and beverage companies, while its bread division also had a strong year.

Chaucer produces ingredients for food manufacturers globally, including Kellogg, Nestlé and Unilever.

Meanwhile, the sale of a West Midlands bacon producer has saved the jobs of 13 employees, after the company entered liquidation last month (November 25) – partly due to rising costs caused by the UK’s Brexit vote.

“The business was struggling, partly because of Brexit as it saw an increase of 20% in importing pricing and we were called in to liquidate the company,” said CVR Global partner Craig Povey, who acted as liquidator.