Dublin-based pork and bacon company Gormleys has been bought by a consortium for a figure believed to be in the region of £10 million (#12.69 million). Gormleys is a 50 per cent shareholder in Olhausens Ltd, which is included in the deal.
Olhausens is a well-known manufacturer of sausage, pork bacon and related products, and has been growing over the past number of years, according to the consortium which includes financiers Mr Cormac Crawford and Mr Pearse Farrell.
It is understood the company made pre-tax profits of £600,000 in 1997 and is expected to post pre-tax profits approaching £800,000 for 1998. It is expected that the this will increase to more than £1.3 million for 1999.
The remaining 50 per cent of Olhausens is owned by the Ailesbury Business Expansion Fund. Mr Crawford established the Ailesbury fund through Cormac Crawford & Associates and has raised £10 million in BES monies over the past three years. Although no figure for the purchase of the 50 per cent was disclosed it is believed to have cost around £10 million, valuing the company at £20 million overall. Gormleys will buy the BES stake in September 2001, in accordance with the terms of the BES investment agreement.
In a statement, Mr Farrell, a partner in Farrell Grant Sparks, said Olhausen is a very significant company. "It is an independent processor with quality product and traditional independence." Ailesbury Corporate Finance, run by Mr Crawford, and Farrell Grant Sparks (Investors), will be shareholders as will the Olhausen senior management team - Mr Denis Murphy and Mr Des Hurley. Mr Murphy, a chartered accountant has a background in food, corporate finance and the public sector. He joins as managing director. Mr Hurley is the current sales and marketing director at Olhausens.
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