Hovis sold to PE Firm after Endless negotiations
Iconic bread brand Hovis has been bought by UK private equity firm Endless LLP from its owners Gores Group and Premier Foods, which also own Mr Kipling.
The price has not been disclosed although Premier Foods said it will receive £37m through the deal.
Endless said it is planning “significant investment” into Hovis to help its management team achieve their growth plans.
The deal comes after Hovis successfully carried out a major turnaround of its business over the last four years. The restructuring of the 134 year old bakery included selling off the majority of its milling business in 2018 to focus on its baking operations. The firm employs around 2,700 people.
Hovis was up for sale by majority owner US private equity firm Gores. Following a bidding war, Italian food group Newlat pulled out and private equity firm Endless succeeded. Other potential buyers were also involved.
Bread sales soared in 2020 due to lockdown, meaning less commuting and more home sandwich making.
The Hovis brand has grown since an 1886 flour-milling innovation was made by Staffordshire baker Richard “Stoney” Smith.