B&M acquires Heron Food Group
B&M has acquired Heron Food Group, the North of England discount convenience retailer, in a £152 million deal.
Operating 251 stores, Heron achieved revenues of £274.4 million and pre-tax profit of £8.6 million in the year to 31 December. Like-for-like revenue growth in the year was 3%.
B&M said the acquisition will enable it to develop and roll out a proven, profitable discount convenience grocery brand.
Heron is currently managed and owned by Andrew, David and Michael Heuck. Michael Heuck is retiring from the business as planned, whilst Andrew and David Heuck will remain in their existing trading and finance roles with Heron following the acquisition.
B&M, alongside the existing Heron management team, will continue to expand and develop the Heron business, initially through the addition of between 10 and 20 new stores per annum.
Simon Arora, chief executive of B&M, said: "B&M is already the UK's leading general merchandise discount retailer, serving 4 million shoppers per week. The addition of a complementary, proven discount convenience grocery brand to our own structural growth story gives the combined business an even longer, exciting growth runway.
"I look forward to working with David and Andrew Heuck and the Heron team to drive forward our shared ambition to deliver exceptional value for money to shoppers across the UK."
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