The proposed deal would see the Irish company take over Pilgrim’s Europe’s key Welsh processing facility at Llanidloes in Powys.
Located in central Wales, the site provides access to one of the UK’s most important sheep-producing regions and has built a strong reputation for producing premium Welsh lamb products.
According to a joint release from ABP and Pilgrim’s Europe, the “highly skilled” workforce at Llanidloes would transfer to ABP under Transfer of Undertakings (Protection of Employment) (TUPE) arrangements.
Pilgrim’s Europe’s lamb retail packing operation at Andover in Hampshire will not be included in the proposed transaction due to ABP’s existing lamb deboning and retail packing capabilities across its UK network.
Separately, Pilgrim’s Europe said it has begun a consultation process regarding the proposed closure of the Andover site towards the end of January.
Subject to consultation, the company said it hopes to retain colleagues through “alternative employment opportunities” across its UK operations.
Kevin Cahill, chief executive of ABP UK, said: “Llanidloes is an excellent strategic fit for our lamb business. The site is ideally positioned in the heart of Welsh lamb production and has a long-standing reputation for quality, supported by an experienced and dedicated team.
“We look forward to welcoming the Llanidloes team and working closely with the producers who supply the site, providing them with the benefits and support available through our network of more than 3,500 sheep farmers across the UK. Welsh lamb is recognised globally for its quality, and Llanidloes provides a strong platform to serve growing demand across both domestic and international markets.”
Based in County Louth, Ireland, ABP is one of Europe’s leading meat processors, supplying fresh and frozen meat products to retailers and foodservice providers from processing sites across Ireland, the UK and affiliate sites in Belgium, Germany, the Netherlands and Poland.
Owned by US-based parent company Pilgrim’s Pride, Pilgrim’s Europe employs 17,000 people and operates more than 40 sites across the UK, Ireland, France and the Netherlands, producing household-name brands including Richmond and Fridge Raiders.
Ivan Siqueira, president of Pilgrim’s Europe, added: “Following a strategic review of our lamb operations, we believe ABP is the right long-term owner for the Llanidloes business. The proposed transaction will enable continued focus and investment in our core poultry, pork and value-added businesses, while providing opportunities for future growth at Llanidloes within a specialist lamb processor.*
“We are incredibly proud of our colleagues at Llanidloes and Andover, as well as the farmers and producers who have supported the business over the years. Our priority is to support colleagues throughout this process and maintain continuity of supply and service for customers and producer partners during the transition.”
