More than 1,000 jobs have been secured at Banham Poultry Limited and Banham Group Limited following a sale to Chesterfield Poultry Limited by Duff & Phelps administrators.
Allan Graham and Trevor Birch, both of Duff & Phelps, were appointed joint administrators to Banham Poultry Limited and Banham Group Limited on October 5, 2018.
Banham Poultry Limited handled processing and Banham Group Limited was responsible for the rearing of poultry. On appointment, the Birch and Graham secured the sale of the businesses, saving both jobs and guaranteeing no breach of animal welfare regulations.
Banham was a family run business, managing and operating a group of chicken rearing farms providing first class laying flocks to the UK and export market. It has been operating in Norfolk for over 50 years and was a leading independent producer in the market with a turnover of circa £150m, accounting for roughly seven percent of the UK poultry market.
It supplies chickens to major supermarkets and other stores and wholesalers throughout the UK. The company runs its own transport department covering live transport, chilled and frozen distribution.
Joint administrator Graham said: “The business has faced a perfect storm in recent months, with increasing margin pressures from supermarket chains as a result of price competition, combined with increases in feed prices. It had been undertaking a number of capital projects designed to improve productivity in the longer-term, but these have impacted short-term profitability which in turn has hit margin.”
Over the past couple of months, the business has been exploring a number of options with the full support of its lender, to ensure the survival of the business.
On appointment Duff & Phelps secured the sale of the business and its assets to Derbyshire-based Chesterfield Poultry Limited. The business specialises in chicken production and its products are sold in grocery stores and small supermarkets around the UK, processing over 1.2 million birds a week.