Russian meat producer Cherkizovo Group has announced that it has completed the acquisition of Cargill’s chicken processing facility in the Tula region.
The deal involves the acquisition of Cargill’s Сompass Foods LLC by AIC Mikhailovsky – a subsidiary of Cherkizovo Group.
'Additional HoReCa Competencies'
CEO of Cherkizovo Group, Sergey Mikhailov, commented, “We are happy that the deal was closed on time, thanks to the great efforts and professionalism of the Cherkizovo and Cargill teams.
“We believe that the new asset will be integrated into the Group in a matter of months. I am confident that the experience and expertise of the newly acquired team will bring in additional HoReCa competencies, which we will seek to expand as one of our top priorities.”
The chicken processing facility is equipped to process around 20,000 tonnes of nuggets and other poultry products per year.
The acquisition will strengthen Cherkizovo’s presence in the foodservice sector, as most of its products are supplied to McDonald’s.
Network Expansion
Sergey Kapkov, senior purchasing and logistics manager at McDonald’s, said, “McDonald’s has been consistently expanding its network of domestic suppliers. Some 99% of our products are sourced locally.
“We are happy to see Cherkizovo Group embracing additional opportunities through our partnership. This integration will foster further market development.”
© 2020 European Supermarket Magazine – your source for the latest retail news. Article by Dayeeta Das. Click subscribe to sign up to ESM: The European Supermarket Magazine.
