While recent times have seen numerous collaborative and merger developments for UK growers and packhouses, there are already predictions of further upheaval in the market.

At least 57 UK fresh produce firms are prime targets for a takeover and another 83 could be sold off by their parent companies, according to a new report by analysts Plimsoll Publishing.

At the other end of the scale are 34 major companies that are expanding rapidly, largely through acquisitions, with 90 so-called ‘predators’ taking advantage of the failings of others to clean up in the market.

“The 57 takeover targets we have identified generally have a similar profile - they are privately owned, are in financial difficulty and have owners who are approaching retirement,” explained Plimsoll’s senior analyst, David Pattison. “Any firm in this position should be listening to the warning bells, because its potential selling price will be in the bargain basement. The other 83 distressed companies are operating as divisions of larger parents. I’m fairly certain that conversations are going on behind closed doors about their future.”

The big players in the market are focusing on companies with sales of around £5m. Interestingly, some are being bought not just because they offer good value for money and an extra foothold in the market, but in case they fall into the hands of competitors. The 143 companies that fall into this bracket are in the fortunate position of being in a sellers’ market, so they are able to name increasingly higher prices as availability reduces.

These are typically the two classic profiles of the takeover target - up-and-coming industry players and those who have fallen on hard times, according to Pattison.

Topics