Endless offloads Phoenix Foods
SPECIALITY Powders Holdings has bought Phoenix Foods from Yorkshire turnaround company Endless in a multi-million pound deal.
SPHL, based in Knaresborough, is a processor of dry powder food products and ingredients and has bought Phoenix Foods in an all cash transaction.
SPHL has operations in Kent and The Netherlands, and is the holding company for three manufacturing companies that provide powder processing and production services to clients throughout Europe.
Phoenix Foods, of Corby, Northamptonshire, manufactures a range of powdered drinks and foods and employs 100 staff.
Under the leadership of David Manning and Andrew Ducker, the company has co-invested on four deals with Leeds-based Endless over recent years.
Mike Kirby, SPHL’s managing director and majority shareholder, said: “This acquisition is part of our strategic growth plan and Phoenix Foods has a reputation for producing quality and innovative products that very much complement our own offering.”
Darren Forshaw, co-founder of Endless, said: “Phoenix Foods was one of the oldest investments in our portfolio and one of the last investments in our first fund. We have been delighted with the company’s performance under the stewardship of David Manning and Andrew Ducker, with the business growing consistently throughout the recession, demonstrating its strength and resilience.
“There is a powerful strategic fit with Speciality Powders and the combined business is well positioned for future success.”
Endless was advised by Squire Sanders (Jonathan Jones, Paul Mann and Guy Hunter) and BDO (Tim Clarke).
Speciality Powders was advised by Sterling Corporate Finance (Andy Rose and Lyndsey Shaw) and Schofield Sweeney (Chris Schofield and Adrian Ballam).
Funding for the deal was provided by Centric Commercial Finance.
Andrew Rose, partner at Sterling Corporate Finance, said: “The two businesses are a natural fit, offering similar services and the deal will consolidate Speciality Powder’s position as one of the county’s largest food processing businesses.
“Even at a time of restricted lending, this deal shows our ability to secure funding for ambitious Yorkshire businesses.”
