A Nestlé confectionery facility in the UK has been officially sold, with the transaction completed several weeks ahead of its scheduled closure, as confirmed by the food giant.
The Fawdon facility, located near Newcastle in north-east England, has been acquired by the local bakery business Country Style Foods. This transaction specifically pertains to the premises, leaving the future uncertain for the 475 Nestlé employees based at the site.
In a statement, a Nestlé spokesperson said, “We have been carefully exploring options for the future of Fawdon factory since we announced its planned closure.
“We are pleased to have exchanged contracts with an established local business to purchase the factory. The sale relates to the premises only and the business has not been transferred.”
Country Style Foods has been contacted for comment on the confirmed deal. However, as of now, the bakery business has not provided any statements regarding the transaction. Local councillors, who form part of a taskforce established after the factory closure announcement early last year, have verified the deal.
Upon confirming the closure, Nestlé, after nearly a year of consultation, announced its intention to shift production to alternative sites in the UK and overseas. This plan was outlined for implementation following the closure of the facility at the end of 2023.
The facility, once a Rowntree plant in operation since 1958, produces a range of chocolate brands such as Rolo, Toffee Crisp, and Munchies. Additionally, it manufactures sugar confectionery sold under the brands Fruit Pastilles, Fruit Gums, and Jelly Tots.
Reports from local newspapers have suggested that Country Style Foods, a bakery company based in Leeds in northern England, might consider hiring some of the Nestlé employees in its recently acquired facility.
According to the Newcastle Chronicle, it is reported that Country Style Foods is expected to visit the Fawdon factory site in the upcoming weeks to engage with Nestlé employees and explore potential employment opportunities.
Country Style Foods, a provider of bread, cakes, and other baked goods to supermarket in-store bakeries and the foodservice sector, operates several production sites in the northern regions of England.