In a strategic move, Ingham’s has announced its intention to acquire the entire Bostock Brothers organic chicken business in New Zealand, marking a significant step in enhancing its presence in the premium poultry market. The transaction, valued at NZ$35.5 million (US$21.94), encompasses the Bostock Brothers brand, three free-hold farming properties, and the primary processing plant situated in Hastings on the North Island.
Ingham’s, a prominent player with operations in both Australia and New Zealand, highlighted Bostock Brothers’ unique status as the sole certified producer of poultry in New Zealand. Edward Alexander, Chief Executive of Ingham’s New Zealand, expressed enthusiasm about the acquisition, stating that it aligns perfectly with their ambition to solidify Ingham’s position as a premier operator in the market.
One of the key advantages touted by Ingham’s is the integration of Bostock Brothers’ vertically integrated supply chain, which is expected to bolster operational resilience. Additionally, the acquisition opens doors for Ingham’s to tap into established high-value export channels, thereby expanding its presence in new geographic markets and customer segments.
Andrew Reeves, CEO and Managing Director of Ingham’s, emphasized the strategic significance of the acquisition, citing the robust recovery in the operational and financial performance of their New Zealand business. Reeves sees the acquisition as a pivotal opportunity to augment capabilities, diversify product offerings, and propel the company towards its growth objectives.
Earlier this year, Bostock Brothers garnered attention for its innovative approach, including treating its chickens to a live symphony performance at one of its farms, underscoring its commitment to animal welfare and product quality.
Pending regulatory approvals, the acquisition is anticipated to be finalized by the end of September 2024. Ingham’s intends to finance the transaction entirely through its existing debt facilities, signaling confidence in the strategic value and long-term prospects associated with the acquisition.
