Hovis to cut 100 jobs in Southampton and High Wycombe

The Gores Group bought a controlling stake in the firm in 2014

The maker of Hovis bread is to sell two flour mills and close a third, after announcing a £11.7m loss after tax.

Hovis Ltd said up to 71 jobs would go with the mill closure in Southampton, while sites in Manchester and Selby would transfer to Whitworth Bros Ltd.

It said another 29 posts would be cut at the company's headquarters in High Wycombe.

US investment firm The Gores Group bought a controlling stake in the firm in 2014.

The firm said its Southampton mill would close with the loss of up to 71 jobs

Hovis Ltd said the losses, down from £34.2m in 2016, marked the completion of a three-year transformation plan.

Chief executive Nish Kankiwala said the firm was "showing strong momentum", including a 6% increase in baking business sales.

He said the disposal of the mills was "part of the process to future-proof our core baking business".

The "significantly loss-making" Southampton mill, at Western Docks in the city, will close at the end of the year, the firm said.

Its one remaining mill - in Wellingborough - will continue to supply flour to the Hovis brand.

The company also said warehouse and logistics operations in DHL Bawtry, DHL Southampton and DSV Belfast will cease at the end of the year.

The Unite union said it was "seriously concerned" by the threat to jobs at the logistics sites.

Acting regional secretary Ian Woodland said it was disappointing that the Southampton site had "never had any investment or refurbishment".

The company employs about 3,500 people at 19 UK sites, producing Hovis, Mothers Pride and supermarket-branded products.