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Trends > Diversification

Irish chip maker Tayto Group cements foray in British vending sector with West Country acquisition

Gill Hyslop

By Gill Hyslop+

03-Jul-2017

Tayto, Mr Porky and Jonathan Crisp snacks maker Tayto Group is aggressively expanding into the British vending sector, with the current acquisition of West Country. Pic: Tayto Group
Tayto, Mr Porky and Jonathan Crisp snacks maker Tayto Group is aggressively expanding into the British vending sector, with the current acquisition of West Country. Pic: Tayto Group

Tayto Group’s (TGL) sister company, Montagu Group, has acquired Bath-based West Country Vending Service (WCVS) for an undisclosed amount.

According to Mark Stone, who directs Montagu Group’s operations, the company is aiming to open up new distribution channels for Tayto Group products.

The multi-million-pound deal is Tayto Group’s (TGL) second acquisition in the British vending sector. Earlier this year, Montagu Group purchased Freedom Refreshments.

Family-owned West Country turns over £11m ($14.24m) per annum, and outsources and sells vending machines across many sectors, including business, industry and leisure. The WCVS deal also includes its subsidiary Hilton Vending.

Diversification in vending

TGL’s divergence into the vending sector has increased the company’s turnover from £19m ($24.60m) to over £215m ($278.40m) in the past 12 years.

Paul Allen, CEO of Montagu Group, said the WCVS purchase is the next step in TGL’s strategic development program and increases its share of the British vending machines market, bringing an additional 5,300 vending machines in South West England and South Wales under its control.

Mark Stone, who directs Montagu Group’s operations, said the company has acquired more than 12,500 vending machines in the past year.

“We are aiming for further growth to open up new channels for Tayto’s products, as well as the confectionery and beverages that our machines carry,” said Stone.

One potato, two potato …

TGL owns Golden Wonder, Mr Porky, Real Crisps, Jonathan Crisp, Portlebay and Tayto potato chips.

The Co Armagh-headquartered business employs almost 2,000 people across its operations and is Northern Ireland’s largest UK-owned crisp and snack manufacturer.

It produces more than 25 million bags of snacks and crisps each week across its six sites, based in Tandragee, Corby, Scunthorpe, Westhoughton, Wolverhampton and Devon.

Its products are exported to 43 countries, including Australia, Dubai, Egypt, Saudi Arabia and the US.

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