DECLAN Gallagher, managing director of Gallagher’s Bakery in Ardara, Co Donegal, has bought back the business four years after selling it to the IAWS conglomerate.

Mr Gallagher said he will continue with the fresh bread side of the business and is confident of rebuilding a workforce of 100 employees in the future. The price, which followed four days of “tough negotiations”, was not disclosed.

Mr Gallagher’s father Frank founded Gallagher’s Bakery in 1968.

A majority stake in the company was sold to IAWS in 2007, but the family retained an interest in it and Mr Gallagher remained on as managing director.

In January, IAWS, now Aryzta, announced it was moving its operation to Dublin, with the loss of 189 jobs. Mr Gallagher refused to say how much he paid to get the business back, but said he was happy with the outcome.

“Nobody likes to pay a lot for anything, but I am happy with the outcome and how much we paid for the business.

“I have to say that IAWS were very fair in their negotiations but they were four tough days of negotiations. I am just happy the company is back in our control and we will move forward from here,” he said.

Mr Gallagher said he will initially target the creation of 70 jobs at the plant on the outskirts of Ardara.

The company will initially concentrate on producing fresh bread, but there are plans to expand into a number of different areas.

“People still eat bread, even during a recession. But we also recognise that we will have to expand into different areas with new product lines and we will do that in the coming months.

“We initially hope that 70 jobs will be back up and running, but I would personally hope that we can increase that to 100 positions in the future,” said Mr Gallagher.

He added he was delighted to take control of the company again and to be able to make a contribution to the local economy.

“We need the public’s support and will be calling on retailers to get behind Donegal manufacturers.

“The more jobs we maintain in our county, the more cash will be spent in our county. People need to remember money earned locally will be spent locally – in our garages, shops, restaurants, bars, drapery shops, hardware stores, etc.

“We have got to think about our future and protect as many manufacturing companies as we can in our region for our children’s sake,” he added.

Stephen McCahill, chairman of the Ardara Traders’ Association, paid tribute to Mr Gallagher in his quest to save the business.

“Gallagher’s Bakery is a huge part of life in Ardara and many surrounding towns because people simply depend on it for their livelihood.

“Nobody but Declan Gallagher could have pulled this off because of his family’s association with the bakery and it is a tribute to him that he has managed to do it,” Mr McCahill said.