Musgraves buys major wholesaler

Ireland’s biggest food and grocery distributor announced today the acquisition of J&J Haslett, the major food wholesaler and cash and carry business in the North.

The Musgrave Group – which declined to detail the price it is paying – said the transaction was subject to regulatory approval in Ireland and the UK which was anticipated in September.

J&J Haslett, which has been in business since 1954, supplies almost 200 Mace and 70XL Stop and Shop stores as well as operating seven Holmes cash and carry outlets.

In the year to the end of 2006 it had a turnover of €282m and employs 360 people at eight locations across the North.

The Musgrave Group, founded in Cork in 1976, is Ireland’s biggest food and grocery distributor and about 10 times the size of J&J Haslett. It is best know as supplier to SuperValu and Centra, the independent network with over 700 stores North and South.

In the UK it acquired the Budgens chain of convenience stores in 2002 and bought Londis in 2004.

It now serves more than 3,000 stores in Ireland, the UK and Spain. Last year group sales were €4.6bn.

Commenting on the acquisition, Chris Martin, chief executive of Musgrave, said: “J&J Haslett is an excellent business with a strong position in the dynamic Northern Ireland convenience market.

“The bringing together of this well run business, combined with the expertise of Musgrave in developing retail brands, growing and developing retailer relationships and using our scale and buying power to maximise benefit for our customers, will, we believe, secure the future growth of J&J Haslett.”

Michael Hamilton, managing director of J&J Haslett said he was delighted the group had been acquired by Musgrave.

“We were very keen to ensure the continued success and growth of J&J Haslett by finding a purchaser with values and a business ethos similar to our own.”

He said Musgrave was the ideal partner for the future and he was confident its excellent track record in the UK and Irish markets would ensure the business continued to grow and develop in the interests of the retailer, consumer and employees.

On completion of the purchase Mr Hamilton and the J&J Haslett financial director Ronnie Lewis will leave the business and Martin Kelleher, currently SuperValu sales director in Ireland, will take over as MD.