The Irish Agricultural Wholesale Society, a co-operative society with a large holding in publicly quoted food company IAWS, is in merger talks with SWS a Cork-based services company.
SWS has grown from its origins in agricultural services to develop interests in natural resources (wind energy, forestry, waste and biomass), corporate services and business process outsourcing.
SWS is considered a strategic fit with the society and the merger is subject to due diligence and the agreement of a business plan for the combined entity.
Currently the society has two main operating divisions, Irish Pride Bakeries, the leading plant bakery business, and Premier Proteins, an animal rendering business.
In addition, the society owns 50 per cent of Greenore Port in a joint venture with Dublin Port and holds a one-third stake in the Malting Company of Ireland.
The proposed merger may force the society to change its corporate status from a co-operative society to a limited company. The society has been pursuing a more growth-oriented strategy following a recent review of its operations.
Any opportunities to be pursued by the Society will not compete with the business of IAWS.