Danish Crown’s Polish meat business Sokolow has revealed its intentions to acquire its rival Gzella Meat Group.
Gzella Meat's operations are confined to the northern region of Poland.
The deal between the two Polish meat firms will be carried out based on a conditional investment agreement.
The deal is aimed at enhancing the market position of the merged entity and its expanded brand portfolio in both domestic and international markets.
Sokolow management board president Boguslaw Miszczuk said: “Our mission is to be a valuable partner for our customers and the consumers. We do that by providing them with products in premium quality, that meet their expectations and needs and comply with the ongoing changes in dietary trends.
“The acquisition of Gzella Meat Group is another step to meet these objectives and it will enlarge the potential growth of the Sokolow Group remarkably.”
Gzella Meat was founded in Osie, a village in north-central Poland, more than 33 years ago. The company processes more than 6,000 tons of meat per month.
The company, which has about 1,000 employees, operates its own logistics facilities besides having a chain of almost 250 stores under the Delikatesy Miesne Gzella brand. Most of these Gzella stores can be found in northern and central Poland.
Gzella Meat Group founder and main shareholder Miroslaw Gzella said: “When we decided to sell the Gzella Meat Group, we started looking for an investor with an established market position and a good reputation, which could bring Gzella the best possibilities to maintain and develop the current activities.
“Being a part of Sokolow means we will have the best possibilities to strengthen our market position, through continuously improvements of the Gzella profile and an even wider range of premium products.”
The deal will is subject to approval from the Polish competition authorities, following which the products of Sokolow and Gzella Meat will be sold across each other’s stores.
Earlier this month, Danish Crown announced that its subsidiary Tulip Food has secured permission to export sausages and canned products to China.
