Charoen Pokphand Foods acquires majority stake in Foodfellas

Charoen Pokphand Foods has acquired a 60% stake in UK foodservice supplier Foodfellas.

The £12.3m deal struck through the company's CP Foods UK division.

Foodfellas imports and distributes food such as meat, bread, potatoes and avocados to more than 160 customers in the UK.

Charoen Pokphand Foods said the acquisition of a majority stake in Foodfellas will see the Thai business enter the foodservice market in the UK.

Foodfellas has experience in the UK foodservice market, with its major customers being branded operators, with a combined total of restaurants of more than 15,000 branches.

Foodfellas generated revenues of £47m last year, up from £39m a year earlier.

It also posted net profits of £2.5m last year, an increase from £1.9m in 2014.

In May, CPF announced its intention to invest over the next five years to bolster its annual revenue from THB426bn baht ($12.07bn) last year to THB700bn ($19.8bn) in 2020.