ABN has confirmed that it intends to exit the UK monogastric compound feed industry and will explore options, including divestment, for its remaining feed mills.
The decision was communicated in a letter shared with customers and suppliers and has been confirmed to Poultry.Network by the company.
In it’s letter, ABN said: “Our intention is to exit the UK monogastric compound feed industry, which means exploring options, including divestment, for our remaining ABN mills.”
The business expects the process could take approximately 12 months, although timings may vary as discussions progress.
“This is not a decision we have taken lightly and will be a managed process,” the company said.
Continuity of supply
“Our focus throughout will be on ensuring continuity of supply and service for our customers, working collaboratively with our suppliers, and supporting our people.”
ABN has not yet disclosed potential buyers, individual mill outcomes or definitive site-specific timelines. The consideration of divestment means some or all of the mills could continue producing feed under new ownership.
The company said it remains at an early stage of the process and is therefore unable to confirm when its purchasing requirements may change.
It has promised to give suppliers as much advance notice as possible of any material reductions or cessation of orders to help them plan.
Earlier review of five ABN sites
The announcement follows an announced review of ABN’s operations and manufacturing footprint disclosed by the company in February.
At that stage, ABN said it was considering options for its mills at Cullompton, Langwathby, Enstone and Bury St Edmunds, as well as its North Yorkshire anaerobic digestion plant.
Those options included the potential sale or lease of the sites.
In its February statement, ABN said the review was intended to secure the long-term sustainability of the business by sharpening its focus on core products and optimising its manufacturing estate.
Jonny Lester, general manager of ABN, said at the time: “The actions we are taking reinforce our commitment to delivering high-quality and reliable animal feed products, today and for the future.
“We are acutely aware of the uncertainty that these difficult but necessary changes are creating for our colleagues at the affected sites. We are working hard to communicate as transparently as possible and to offer support to those who are impacted.”
Confirming intention
The latest communication goes further than the February announcement by confirming ABN’s overall intention to withdraw from UK monogastric feed compounding, rather than reviewing only the future of the named sites.
ABN said it would continue to update customers, suppliers and employees as the process develops.
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