The agriculture and engineering group announced plans to restructure its animal feed block business in April last year, after it concluded that continuing with two divisions was an inefficient operating model due to the lack of synergistic benefits and resultant central overheads.
Carr’s sale of its engineering division represented a critical milestone in its strategic transition to a pure-play global agriculture business.
Shareholder payout
Up to £70m from the sale will be returned to shareholders, with remaining proceeds supporting corporate needs and growth in Agriculture. Further details pertaining to the capital return – including timing and structure – are expected to be announced in due course.
The separate sale process relating to Chirton Engineering, which forms a part of the wider engineering division but is not being sold to Cadre, remains ongoing. Carr’s board said it would provide a further update at the time of the group’s interim results.
Commenting on the sale, CEO David White said: “I am delighted to announce the successful completion of the sale process, which marks a significant milestone in delivering value for our shareholders.
Future success
“I would like to take this opportunity to thank all our colleagues in the engineering division for their dedication and hard work over the years and wish them every future success under Cadre’s ownership.
“We have made significant progress implementing our new Agriculture Strategy for the repositioned business, focused on driving profitable growth and expanding into new markets. With our streamlined operations, strengthened leadership team, and clear strategic direction, I am confident about the Group’s ability to deliver sustainable, profitable growth.”
Carr’s intends to announce its results for the six months ended 28 February 2025 on 7 May 2025.
Meanwhile, wine retailer Majestic has completed the acquisition of drinks wholesaler Enotria&Coe for an undisclosed fee, creating a group with annual revenues of £500 million.
