Irish meat processing giant ABP Food Group is set to acquire a 50% stake in Linden Foods, a UK-based meat processing business of Fane Valley.

The acquisition extends the joint venture (JV) partnership between Fane Valley Co-op and ABP Food Group.

Both companies have reached an agreement in principle that is subject to approval by the relevant regulatory and competition authorities.

Fane Valley Co-op chief executive Trevor Lockhart said: “Linden Foods is a growing company within the UK red meat sector, delivering the highest levels of innovation, quality, service and value to its long established customer base.

“The business continually challenges the way it works, seeking out new ways to advance and improve. Our experience of working closely with ABP Food Group in the Republic of Ireland has been extremely positive and we now wish to build on this success.

“The joint venture, which will continue to trade as Linden Foods under the current management team, will ensure that the business can capitalise on new commercial growth opportunities within both the domestic and international marketplace.

“The involvement of ABP will strengthen our global sales network and assist in ensuring Linden maximises the returns from all parts of the animal, including the fifth quarter. This will be a pre-requisite to delivering sustainable returns to primary producers in a post-Brexit era.”

The extension of the partnership follows last year’s Slaney Foods and Irish Country Meats JV between both parties.