Seafood firm looks to China as sale speculation intensifies
YOUNG’S SEAFOOD is planning to cast its net into the Chinese market as speculation intensifies over a multi-million-pound sale of the business.
Chief executive William Showalter said the company was in talks with potential partners over an export push into the Asian nation after expanding the brand across supermarket shelves in America.
The food industry veteran refused to be drawn on rumours suggesting Britain’s biggest seafood firm could be snapped up by Princes’ Japanese-owner Mitsubishi Corporation.
However, he said it would not “take a huge leap of faith” to expect the group’s backers to start looking at “strategic alternatives” in the near future.
It comes as the Grimsbybased firm ploughs forward with an American expansion after partnering with Pennsylvaniabased frozen fish supplier The Fishin’ Company to bring its products to US retailers such as Walmart.
Mr Showalter said: “We see China as a big opportunity.
“As we speak, we are exploring discussions with partners in that market and we would look to deploy a similar model to the one that we are using in the United States.
“Continental Europe is probably next on our list. When we sold our continental European business to Nomad Foods in November 2015 we committed to them to not sell frozen branded product into any of the markets where our Findus business had competed, but that prohibition expires in November this year.
“It would be our desire to look at opportunities in continental Europe once we are able to freely trade there.”
Sources said in December that Young’s private equity owners were working with boutique investment house Stamford Partners on a potential exit.
The food producer was bought by Lion Capital, Bain Capital and HPS Investment Partners (UK) from CapVest in 2008, as part of a £1.1bn takeover that included the Findus brands.
Lion broke up the operation in 2015, striking a £500m deal to sell the European arm of Findus to Birds Eye-owner Nomad Foods, leaving it with the Young’s operation in the UK.
Asked about the future of Young’s, Mr Showalter said: “I am not announcing any sales processes or reacting to some of the media speculation.”
We are exploring discussions with partners in that market. William Showalter on plans by Young’s Seafood to expand into the Chinese market.