Salad days for APS after key acquisition

A FAMILY-owned Cheshire produce company has bought a major rival abd become a £100m business and the country’s largest grower and supplier of tomatoes.

APS Group, which has its headquarters in Middlewich, has acquired Wight Salads from Vitacress for an undisclosed sum. The deal, which was led by Manchester corporate finance firm Rickitt Mitchell,  creates an enlarged business with 265 acres of land with 108 acres of high-tech glasshouses for the production of tomatoes

APS previously known as A Pearson & Sons, was founded in 1949. It has enjoyed rapid growth over the past 10 years, driven by industry-leading service levels, expansion of the growing faciities and sophisticated crop yield maximisation.  

The combined business will supply tomatoes to  several of the UK’s large multiple food retaillers.

Mark Pearson, managing director of APS, said: “The acquisition of WSL is a fantastic opportunity for APS.  It allows us to create a British business of real scale, which is good for jobs and good for the industry.  We can now focus on long term stability and growth, and work with our advisers and business partners to provide further investment and infrastructural improvements.”

Acquiring WSL has added 66 acres of glasshouses across five sites at Arreton on the Isle of Wight with onsite packing facilities, together with a site at Chichester in West Sussex which houses WSL’s head office, including a 40,000 sq ft packhouse.

Peter Moug, managing director of WSL, said: “This deal between two like-minded innovative businesses enables us to create the leading tomato growing company in the UK. The infrastructure in WSL is to be further improved with the investment in new energy centres and growing facilities. I truly believe that this deal, which secures the long term future of the business, will be positively received by our motivated staff members and by our customers.”

APS Group was advised by Neil Mitchell of Manchester based corporate finance house, Rickitt Mitchell and James Sheridan of Turner Parkinson provided legal advice.  Deloitte Manchester provided financial due diligence, led by Jodi Birkett.

Neil Mitchell, partner at Rickitt Mitchell said: “This transaction has required an innovative structure to maintain the current shareholding base whilst doubling the size of APS.  Mark and his team have worked hard and shown real entrepreneurial spirit to succesfully conclude this deal.”
 
Tomatoes make up around 89% of the total output of the APS Group, but it also grows cucumbers, sweet peppers and chilli peppers too. Around a third of its fruits are grown in its own glasshouse complexes in Alderley Edge, Cheshire and Sandwich, Kent totaling 42 acres.  

APS has been a pioneer of Combined Heat & Power (CHP) production within the horticultural industry.  As well as its owns CHP plants that generate its own electricity the company operates an anaerobic digestion waste management faciity and ground water cooled packing facilities.

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