Barry O'Halloran

Seafood processor William Carr and Sons has bought its larger competitor Carrokeel in a deal valued by industry sources in the low seven figures.

Killala, Co Mayo-based Carrokeel confirmed yesterday that it has sold the company to William Carr. Neither side revealed the sale price.

However, Carrokeel made a profit last year of €300,000 on an €8 million turnover. On this basis, industry sources valued the deal in the low millions.

Both companies process and sell fish products such as smoked and barbecued salmon. William Carr is mainly focused on the domestic market. Carrokeel sells its products to both the domestic and the international markets.

Carrokeel supplies US supermarket chain, Wild Oats, and has customers in the UK, Europe, Asia and North Africa. It also supplies own-brand salmon products to Dunnes Stores and Tesco Ireland.

It employs 85 people at two plants in Killala, they will continue to work for the new entity.

Former head of research and development at the Irish Dairy Board, Mr Brendan Chambers, founded the company 15 years ago.

He said yesterday that the sale arose out of discussions with a number of processors aimed at consolidating the business in this country.

His other business, Chamco Foods, will provide export and marketing support to Carrokeel and William Carr, as well as a number of other Irish food companies.