Jain Irrigation to acquire 80 pc in Sleaford Quality Foods

Maharashtra-based Jain Irrigation Systems today said it has entered into an agreement to acquire an 80% stake in UK-based Sleaford Quality Foods Ltd (SQFL), an industrial food ingredients supplier.

Maharashtra-based Jain Irrigation Systems on Wednesday said it has entered into an agreement to acquire an 80% stake in UK-based Sleaford Quality Foods Ltd (SQFL), an industrial food ingredients supplier.

HT Image

It, however, did not mention the price of the acquisition.

The acquisition will help Jain Irrigation's food division to have a direct access to a large market with value-added products, a press release issued stated.

Sleaford Quality Foods, a supplier of food ingredients to the food industry, has been in the business for more than 40 years and its product range covers a large spectrum of food ingredients including dehydrated vegetables, spices, herbs, dehydrated fruits, soup mixes, pulses and canned vegetables, among others.

Sleaford Quality Foods has a nation-wide distribution and strong sales force and sells its products to multinationals and other food companies under its own brand name or private labels.

The acquisition brings the domestic major one step closer to market, with an opportunity to enter into the large ethnic food market in the UK and possibility of addition of new products in Jain's food division product range, the release said.

"We are very pleased to be involved with Sleaford Quality Foods," Jain Irrigation's Managing Director, Anil Jain, said.

Jain has a call option for acquiring the balance 20 per cent stake based on earn-out model over a period of four-years, the release said.