Finnish food company Atria is entering Swedish poultry business by acquiring Lagerberg i Norjeby (Lagerbergs).
The financial terms of the deal have not been disclosed.
Through this deal, the company is purchasing the entire share capital of Lagerbergs.
The transaction is expected to strengthen Atria's Swedish white meat processing business. Atria has noted that the demand for Sweden-produced chicken has been steadily increasing in the recent years.
The acquisition is expected to increase Atria's annual net sales by around €30m. The deal is awaiting approval from the Swedish Competition Authority.
The transaction is expected to be completed in the second quarter of 2016.
Lagerbergs owns a production plant and has its own chicken-rearing facility in Blekinge, Sweden. The company is considered to be the third largest chicken supplier in Sweden.
Lagerbergs also purchases chickens from local producers.
Atria's presence extends across Nordic countries, Russia and the Baltic region, with experience stretching over 110 years. The group employs an average of 4,270 personnel.
The group is divided into four business areas: Atria Finland, Atria Scandinavia, Atria Russia and Atria Baltic. The company's customer groups include consumer goods retailers, Food Service customers and the food industry.
Lagerbergs claims that its chicken products carry the Swedish Poultry hallmark which means that consumers can trust that the chicken is hatched, raised and slaughtered in Sweden.
Image: Lagerbergs owns a chicken production plant. Photo: Courtesy of amenic181/FreeDigitalPhotos.net.
