Produce Investments eyes acquisition of potato firm

8th Jan 2014 12:41

Produce Investments, which operates in the potato business, prompted a jump in its share price on Wednesday after confirming it had entered into a heads of terms agreement to acquire Jersey Royal Company. The AIM-listed group has agreed a period of exclusivity for a potential acquisition of Jersey Royal, but said the agreement was non-binding and subject to due diligence. Jersey Royal Company is a fully integrated potato producer, growing, grading, washing and packing Jersey Royal new potatoes for UK retailers. Based on the Channel Island of Jersey, the company produces approximately 25,000 tons of the new potatoes a year from its 1,800 hectares of land. The share price had leapt over 10% by lunchtime. NR