Roberts Bakery Secures Deal to Preserve Over 400 Jobs
Roberts Bakery has secured a significant deal with Boparan Private Office, preserving over 400 jobs and ensuring the continuity of the 138-year-old business. The investment, details of which remain undisclosed, has led to the formation of Roberts Bakery 1887 Ltd, a new entity under the Boparan Private Office umbrella.
Details of the Acquisition
The acquisition is a crucial move for Roberts Bakery, which employs 433 staff across two factories. The new company will benefit from the expertise of Boparan Private Office, known for its strong presence in the bakery sector. This partnership aims to support the existing management team while bringing in new talent to foster growth for this iconic brand.
Support from the Roberts Family
The Roberts family expressed their relief at the successful acquisition, emphasizing the importance of the business to the community. They highlighted the commitment of Boparan Private Office to ensure the bakery’s long-term success and recovery plan.
Background of Financial Challenges
Prior to this agreement, Roberts Bakery faced significant financial difficulties. The company filed a notice of intention to appoint an administrator on October 6. This followed months of working with financial consulting firm PwC to explore options. On October 14, administrators were appointed, leading to a consultation process that resulted in the redundancy of 86 employees.
Impact of the Acquisition
The sale included key facilities such as the main factory in Northwich and a biscuit manufacturing site in Winsford. However, the fate of the specialty bread site in Ilkeston remains uncertain. PwC noted that the acquisition secures the future of Roberts Bakery and protects its workforce.
Challenges and Future Prospects
Roberts Bakery has been grappling with production capacity issues, worsened by a fire that significantly impaired its operations in 2023, resulting in a 21% decline in turnover, now reported at £76 million for the year ending August 31, 2024.
Expansion of Boparan Private Office
Boparan Private Office continues to expand its portfolio in the food industry. They recently acquired several bakery assets and have significant investments in poultry and consumer brands. This ongoing growth positions them favorably in the market while also safeguarding traditional businesses like Roberts Bakery.
Key Takeaways
- Roberts Bakery saved through a deal with Boparan Private Office.
- Formation of Roberts Bakery 1887 Ltd to secure over 400 jobs.
- Roberts family expresses relief over the business’s future.
- Financial struggles led to the appointment of administrators.
- Future operations secured at Northwich and Winsford facilities.
The developments around Roberts Bakery highlight the resilience of heritage brands in the bakery industry, showcasing the importance of strategic partnerships in overcoming financial hurdles.
