EV Retail acquires Heron Food Group for £152m


UK-based EV Retail has acquired convenience retailer Heron Food Group for £152m

Heron operates 251 stores in the northern part of England, offering ambient, frozen and chilled foods.

Through the acquisition, EV Retail's parent company B&M European Value Retail (B&M) intends to develop and launch a complementary discount convenience grocery brand.

According to the company, Heron’s expertise and store portfolio will be complemented by its sourcing, retailing and store roll-out capabilities.

B&M CEO Simon Arora said: "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.”

B&M is planning to expand the Heron business by opening between ten and 20 new stores a year.

"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.”

As of 31 December last year, Heron reported revenues of £274.4m, EBITDA of £19.1m, while profit before tax and gross assets respectively stood at £8.6m and £93.5m.

Founded in 1978, B&M operates more than 500 stores across the UK and reported revenues of £2.2bn in its annual report for the current year.

The company also operates 75 stores under the JA Woll brand in Germany.