Stonegate, Britain’s second biggest packer, has moved to increase its hold on the egg market with the acquisition of Farmhouse Freedom Eggs.
The company announced the deal to buy the business founded by Gerry and Linda Tuffs in a statement just before Easter. Stonegate sees the acquisition as a means of bolstering its presence in Wales and also in the egg products business.
"We are delighted to acquire Farmhouse Freedom Eggs, a leading company in Wales, and this will significantly strengthen our presence there. We believe their egg products business, including hard boiled eggs, mayonnaise and liquid egg, will enhance our already strong offering to our retail and food service customers," said Pam Corbett, the managing director of Stonegate, in a prepared statement.
Farmhouse Freedom, which is based on the outskirts of Usk in Wales, was founded in 1985. The Tuffs were the first sub-contract producers for Daylay Eggs, which was subsequently bought by Deans Farms, and in 1999 they acquired the Martin Pitt free range egg business based in Marlborough, Wiltshire. They subsequently expanded sales of eggs throughout London and the M4 corridor.
In 2000 the company launched its organic egg production under Organic Food Federation accreditation.
Farmhouse Freedom has also developed a range of additional products that include mayonnaise, pickled eggs and lemon curd. The business also supplies hard-boiled eggs and liquid pasteurised egg to the food services industry.
Farmhouse Freedom Eggs will continue to be run as a stand-alone business despite the acquisition. It will retain its own corporate identity and name within Stonegate and Gerry Tuffs has agreed to stay on and continue to be involved in the business.
A statement about the acquisition from the Tuffs reads, "Joining the Stonegate group will cement the business growth achieved at Farmhouse Freedom Eggs over the last three years and enable our growth to continue. This is a fantastic opportunity for the business, which will benefit both our customers and employees alike. Our joint expertise will enable us to better capitalise on the opportunities ahead. I look forward to playing a major role in the strategy for the future."
For Stonegate, which is a major supplier to both the retail and food service sectors, the purchase of Farmhouse Freedom Eggs follows a number of significant developments for the business. This has included the launch of a new marketing and advertising campaign for Clarence Court, which it says is fast positioning itself as the leading supplier of specialty eggs and egg products.
Stonegate was founded in 1926 when a small group of farmers from the village of Stonegate in East Sussex came together to form an egg co-operative. The farmers pooled all the eggs they produced together and packed them before taking them to markets to sell. The modern business emerged following the merger between Horizon Farms and Stonegate in 2000 and major acquisitions that included Thames Valley Foods in 2001.
In 2006 there came the controversial merger with Deans Foods to form Noble. The merger was referred to the Competition Commission and Noble was subsequently ordered to sell the Stonegate business to maintain competition in the UK egg market.
In July 2008 the business was bought by Pam and Richard Corbett. Stonegate remains the country’s second biggest packer behind Noble and is thought to have some 250 egg producers. That number will be increased as a result of the Farmhouse Freedom acquisition. Stonegate supplies leading supermarkets and amongst its more notable products are the Columbian Blacktail free range eggs produced exclusively for Waitrose.
