AAK buys UK sauce business
Swedish vegetable oil producer AAK is in the final stages of acquiring the GBP14 million wet foods division of UK company Lion Foods, part of a strategy to strengthen its position in the food service sector.
The acquisition will extend AAK's presence in the sauces, marinades and dressings market, as well as the rights to the Lion brand which AAK plans to relaunch. The acquisition will further strengthen the market position in the food service segment, Ian McIntosh, president of AAK UK said. The new business will trade as AAK Foods and will continue to operate from its Runcorn site where it is expecting to employ around 130 staff. The acquisition is expected to generate profit from 2007 after integration with the AAK UK organization.
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