Ag supplies business Carr’s sold in multimillion pound deal

Agricultural supplies business Carr’s Billington Agricultural is to be sold for up to £44.5m.

The agriculture and engineering group, Carr’s, announced on Wednesday (31 September) that it had entered into a conditional agreement to sell its shares in its agricultural supplies division to Edward Billington and Son.

Carr’s Billington Agriculture has been a key part of the group’s growth and development over the past 20 years, said its executive chairman, Peter Page.

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The business operates compound feed mills at Carlisle, Lancaster and Stone, has blend plants at Kirkbride in Cumbria, Lancaster and Wales, and has 32 country stores throughout northern England, Scotland and Wales.

But, following a strategic review, the board “is confident that now is the right time for a single owner and management team to take the business forward”, said Mr Page.

“We are confident that Edward Billington and Son, with its long-term commitment to the sector, is well placed to fulfil this role,” he said.

Carr’s will now focus on its speciality agriculture and engineering divisions, both of which the group says provide a greater opportunity for growth and historically have achieved higher profit margins.

The sale will allow it to invest £10m in manufacturing capacity and plant upgrades.

These divisions have recognised market-leading brands and supply an international customer base which, combined with the anticipated market progression for each business, gives greater opportunity for growth, the group has said.

They had consistently achieved higher profit margins for the group and have the potential for better returns on capital employed, it added.