Equistone Partners to divest majority stake in Group of Butchers

Funds advised by Equistone Partners Europe have signed an agreement to divest their majority stake in Netherlands-based speciality meat manufacturer Group of Butchers to Dutch investment firm Parcom Private Equity.

Financial details of the deal have not been disclosed.

Equistone partner Dr Marc Arens said: “The outstanding market position of Group of Butchers is above all a result of its high-quality standards as well as its broad expertise in identifying trends in the premium meat products sector.

“Along with its excellent management team, we have implemented a successful buy-and-build strategy in recent years and ideally positioned the company for further growth. We are happy that the Group of Butchers has found the optimal partner to support its next steps.”

Equistone acquired a majority stake in Group of Butchers in 2017.

Established in Tilburg in 1997, Group of Butchers caters to the Dutch market, providing artisanal meat products, with a focus on sausage and minced meat specialities.

Its range of meat and sausage products is distributed by retail chains in the Netherlands, Belgium and Germany.

Since the acquisition of the majority stake, Equistone stated that it has supported the Group of Butchers’ strategic growth through several targeted acquisitions and expansion into new markets.

Group of Butchers bought Koetsier Vleeswaren and Keulen Vleeswaren, two Dutch producers of smoked and cured sausage products in 2018.

The same year, it acquired Gebroeders Snijders Vleeswarenfabriek and VLL Vers Logistiek Limburg and these acquisitions enabled Group of Butchers to bolster its service offering in the slicing and packaging of meat products.

Group of Butchers also forayed into the German market in late 2018 with the acquisition of Hartmann, a producer of minced meat products based in Warendorf, Germany; and Gmyrek Group, a manufacturer of meat and sausage products based in Gifhorn, Germany.

The following year, it acquired Schouten Vleeswaren, a Dutch specialist for BBQ and grilled meat products.

Group of Butchers employs 900 people at 12 production facilities and two distribution centres. It expects revenues to be around €280m this year.

Parcom partner Maurits Werkhoven said: “We see a lot of potential in the integration of recent acquisitions and organic growth as well as adding new customers and product categories to Group of Butchers’ portfolio through more buy-and-build. We look forward to actively supporting the company in further developing its potential.”

The deal is subject to approval from competition authorities.

Equistone was advised by Rothschild & Co, EY Parthenon, EY Financial, EY Tax, and A&O.