Associated Seafoods nets Moray prawn processor

Moray Seafoods specialises in fresh and frozen langoustine, as well as scampi

Associated Seafoods has made its second acquisition in a week by buying prawn processor Moray Seafoods.

It said the acquisition of the Buckie-based processor would be a springboard for expansion into new markets.

The move follows Associated's takeover of salmon smoker Lossie Seafoods, which is also based in Buckie.

Associated Seafoods is a holding company set up by a management team, which includes the chief executive of The Scottish Salmon Company (SSC).

Moray Seafoods, which employs about 50 people, buys between £4m and £5m worth of langoustine from fishermen per year.

The company specialises in fresh and frozen langoustine, as well as scampi, and supplies both the UK and export markets.

However, it has endured difficult trading conditions in recent months, and Associated Seafoods said its involvement would help reinvigorate the business develop a strategy for future development.

Associated Seafoods chairman Bill Hazeldean - who is also chief executive of SCC - said expansion into new markets would eventually be fuelled by product innovation to maximise the potential of langoustine landings into the processing facility.

'Huge potential'

He said: "We feel there is huge potential in developing the market for langoustine both in the UK and abroad, involving new marketing strategies and innovation, including new value-added products."

Victor West has been appointed as the new managing director of Moray Seafoods - a role he will combine with heading-up Lossie Seafoods.

He joins the company from Food Partners Ltd, where he was business development director.

Last week, Associated Seafoods took over Lossie Seafoods for an undisclosed sum.

The company said it planned to further develop Lossie's growing export business to premium markets around the world.

Funding for the purchase came from Scottish Seafood Investments, a joint venture company recently established by The Scottish Salmon Company and Northern Link to invest in companies engaged in the value-added processing of salmon and other seafood.