Roberts Bakery Secures Rescue Deal Preserving Over 400 Jobs

ago 10 hours
Roberts Bakery Secures Rescue Deal Preserving Over 400 Jobs

Boparan Private Office has saved Roberts Bakery, preserving over 400 jobs associated with the historic brand. The investment firm, owned by Ranjit Singh Boparan, has created a new entity called Roberts Bakery 1887 Ltd. This move not only safeguards the jobs of 433 employees but also ensures the legacy of the 138-year-old bakery continues.

Details of the Rescue Deal

The investment, though undisclosed, will allow Roberts Bakery 1887 Ltd to be part of Boparan’s diverse portfolio. This strategic partnership is anticipated to benefit from the firm’s extensive experience in the bakery industry, as noted in a recent statement.

  • The deal preserves 433 jobs across two factories.
  • Roberts Bakery 1887 Ltd will now benefit from Boparan’s management support.
  • A commitment to fostering a sustainable future for the brand.

Community Impact

Ranjit Singh Boparan expressed pride in saving a bakery that has been a staple in the community for over a century. The Roberts family stated they were relieved that the business would continue under a management consortium supported by Boparan, although they expressed sadness over stepping away from their role in the bakery’s future.

Background and Challenges

The rescue comes after Roberts Bakery faced significant challenges, including a fire in 2023 that damaged its Northwich factory and reduced production capacity by 60%. This incident contributed to a 21% drop in turnover, amounting to £76 million, for the year ending August 31, 2024.

Year Turnover (£) Job Status
2023 76 million 433 jobs preserved
Before Financial Trouble 100 million+ Over 750 jobs

Administration and Restructuring

Prior to the acquisition, Roberts Bakery had been working with PwC to explore options after filing a Notice of Intention to appoint administrators on October 6. This led to a consultation that resulted in 86 redundancies as the company entered administration. Administrators confirmed their ongoing process for employee consultation even before the appointment.

Future Plans

The new management team has a clear mandate to secure Roberts Bakery’s future and support its continued operations. In parallel, Warburtons completed a separate acquisition of the Roberts specialty bread factory located in Derbyshire.

As Boparan Private Office integrates Roberts Bakery into its portfolio, the company aims to leverage its expertise to stabilize and grow the brand. This outcome provides peace of mind for employees, suppliers, and customers alike while preserving the rich heritage of Roberts Bakery.