Private equity firm takes majority stake in canning provider
Private equity firm Rutland Partners has acquired a majority share of Hereford Contract Canning (HCC).
HCC is the second largest contract canning provider in the UK and is differentiated by its focus on low to medium sized batch runs of drinks with complexities in mixing, blending and canning for a wide range of domestic and international customers targeting the UK consumer market.
The market for HCC’s services has grown significantly with rising consumer demand for flavoured beverages of all types and ready to drink products.
This rapid expansion is being further driven of late by the move away from plastic products in favour of canning options.
Rutland will be adding to the management team through the introduction of Julian Aitken as CEO and Robert Leechman as non-executive chairman who will work alongside the existing team and the founders of HCC, John Hibberd and Paul Burton, who remain shareholders in the business.
They bring drinks industry experience and add to operational management of HCC led by Richard Leach. Helen Flear will act as interim finance director and oversee a transition programme while a new long-term finance director is recruited.
HCC represents the eighth investment from Rutland Fund III. The team leading the transaction for Rutland was Nick Morrill, David Wardrop and Gessica Howarth.
David Wardrop, partner at Rutland said: “We are very pleased to have completed our investment in HCC. HCC has a strong position in an attractive market and is well placed for future growth which we are looking to accelerate with significant further investment in the business. We look forward to working with HCC to develop the business over the coming years.”
Julian Aitken, newly appointed CEO at HCC, said: “I am delighted to be joining Hereford Contract Canning as CEO. The business has developed over the last eight years to meet the needs of a growing and innovative UK drinks market and I am looking forward to working with the highly skilled team whose ethos is one of exceptional quality and meeting customers’ aspirations. HCC are now in a fantastic position to move the business to the next level with Rutland’s support.”
