Spanish poultry group Uvesa, majority owned by Ukraine’s MHP, is expanding with a new site in the north of the country.
Uvesa has purchased an egg hatchery in the town of Alfaro, providing the company with a direct presence in the La Rioja region of Spain for the first time.
The facility produces eggs for human consumption but Uvesa said in a statement that it will “transform its activity to focus on the production of chicken meat”.
Uvesa said it acquired the site from HG&P-Layers Ibérica for an undisclosed sum.
“The hatchery currently has a capacity of 230,000 eggs per week, which translates into the production of approximately 200,000 chicks per week,” the company said.
“Fully equipped and ready to operate, this facility will enable the company to respond more efficiently to growing market demand.”
Just Food has asked Uvesa to confirm the nature of the new operation in Alfaro in terms of its meat processing objectives and whether egg production will be ceased or continued at the plant.
On 25 March, Uvesa said agri-food business MHP had taken its share in the business to 50.54% under the same terms as those signed off earlier in March.
Under the initial deal, the two companies signed a share purchase agreement (SPA) by which MHP acquired around a 41% holding at €225 ($255.20 today) per share, “with an additional contingent consideration of up to €21.43 per share, subject to certain post-closing conditions”.
MHP had been vying with Grupo Fuertes, a poultry peer of Uvesa in Spain, to buy into the business. The agreement inked on 21 March permitted other Uvesa shareholders to join the SPA within one month.
Uvesa said in a separate statement updating on the additional transaction: “As a result of this stake increase, MHP is now in a position to gain control of Uvesa upon closing of the transaction, subject to the relevant regulatory approvals, including competition approvals and foreign subsidy approval from the European Commission.”
Present in both retail and foodservice, Uvesa supplies fresh and frozen chicken, along with cured and marinated products, and charcuterie.
The company operates four poultry processing plants in Cuéllar, Málaga, Tudela and Rafelbuñol, according to its website.
Uvesa also has hatcheries in Tudela, Burgos and Puerto Génil.
Alongside the purchase of the Alfaro site, Uvesa said it plans to buy two breeder farms in the same town this year.
“These additions will enable the production capacity of hatching eggs to be increased,” Uvesa said, adding: “The group’s management believes that this investment reflects its firm commitment to the development of the poultry sector, the strengthening of the local industrial fabric and the promotion of sustainable, quality production.”
