BWG completes €23m investment for 2016 with new facility
BWG Group, which owns the Spar convenience store chain in Ireland, will complete a €23m capital investment programme for 2016 with the opening of a new cash-and-carry facility in Dundalk, Co Louth this week.
The new €5m facility, which will employ 27 people, will service businesses across Louth, Cavan and Monaghan.
BWG, which comprises its network of convenience stores, a wholesale division, and Appleby Westward, the owner of the Spar brand in the South West of England, has invested in upgrades across its retail and wholesale operation over the past 12 months. Leo Crawford, group chief executive of BWG said: "We remain fully focused on developing our retail and wholesale operations across Ireland and the UK while enhancing the service we provide to our retailers and business customers."
"The new facility in Dundalk will significantly improve our operations locally and allow us to upgrade our offering to customers."
The new Value Centre facility is located in the former Littelfuse building on the Ecco Road in Dundalk, which has been unoccupied since 2006 when the electronic manufacturing business was moved to China after 40 years in the town.
Value Centre is owned and operated by the wholesale division of BWG Foods. The division of BWG Foods is comprised of Value Centre, XL retail group as well as BWG Foodservice.
Value Centre has the largest wholesale branch network in Ireland with 21 locations across Ireland.
Recently, BWG reported a 14.5pc increase in turnover to €1.4bn and a 41pc increase in operating profit.
The results reflected the full year contribution of Londis, which BWG acquired in June 2015, and an initial contribution from Giletts in the UK, which the group acquired in July this year.
The Spar Group in South Africa bought an 80 per cent stake in BWG in 2014 for €55m. The investment resulted in more than €70m being wiped from the Irish group's debt levels.
Crawford and other directors, John Clohisey and John O'Donnell, retained a 20 per cent holding in the business.
BWG was acquired by its management for €390m in 2006 from private equity group Electra Partners.
Under the deal with the South African business, up to €100m was to be invest in the expansion of the wholesale and convenience retailing operations over five years.
BWG had 1,340 outlets at the end of September across its markets.
Sunday Indo Business