Food group makes tasty addition

Kevan Shaw and Lisa Ritson, of Castle Square Corporate Finance, have helped secured a deal between two thriving businesses in the food sector.

The deal will see market leading ingredient company Regency Mowbray Company Ltd, from Staffordshire, acquire Wigan based Lea Green Foods Ltd

Regency Mowbray manufactures ingredients for the Ice Cream, Yoghurt, Dessert and Bakery markets and counts companies such as Rachel’s Dairies, UK leading organic Yoghurt supplier to supermarkets, as customers.

Lea Green Foods supplies pastes and purees to the food service and manufacturing markets and supplies quality products to the likes of Brake Group., 3663 Food Service and major food manufacturer Greencore.

Castle Square advised on the deal alongside law firm Irwin Mitchell, with funding for the deal, and working capital facilities for the enlarged group, provided by Venture Finance Plc, part of the ABN Amro Group.

Kevan Shaw of Castle Square Corporate Finance said “Having advised The Regency Management Team on their buy out in 2007, I am delighted to have negotiated the transaction and delivered the funding into the first acquisition of the company’s Buy and Build Strategy”.

James Bullock, Partner at Irwin Mitchell, said: “This deal will allow Regency to expand the range of products they offer, and help to strengthen their position as the market leader in the food ingredient industry.

Jeremy Mallin, Managing Director of Regency, said: “Lea Green Foods manufacture high-quality sauces and purees, something that we have not previously offered to our customers. We hope that a combination of both companies expertise will help to drive us forward and strengthen our position in the market.”