Wattie $2.8M in meat processor

Press, 27 June 1987, Page 26

Wattie $2.8M in meat processor

PA Wellington The two-year-old Wanganui meat processing ■company, Amlamco, has received a $2.8 million injection from Wattie Industries, Ltd, which will boost production and give it a heavyweight marketing arm. The deal signed earlier this week formed a new company which will still carry the Amlamco name. Wattie assumed a majority shareholding, 51 per cent, with the rest held by Amlamco, which now becomes the Marshall Romney Lamb Co. The company founder, Mr Allan Anderson, said the $2.8 million was earmarked for alterations to the company’s Westmere plant to bring it into line

with E.E.C. and North American certification. The alterations, which could be finished within three months, might end up costing $3 million, Mr Anderson said.

The capital injection would boost the plant’s production from 400 to 600 lambs a day (150,000-a-year) and increase staff from 28 to almost 40, he said.

Lambs for Amlamco’s operation would continue to be slaughtered at Waitaki International, Ltd’s, Imlay plant as the, arrangement was valuable in underpinning Imlay’s kill, Mr Anderson said. Since establishing in 1985 Amlamco has specialised in high quality lamb cuts, mainly from the Marshall Romney

breed. The company first made its name providing cuts for leading New Zealand hotels and restaurants.

It was also responsible for restoring lamb to the menus on all airlines flying out of New Zealand. But in recent times the financial squeeze began affecting the company, Mr Anderson said. ‘.‘Like most small and medium businesses, Amlamco has been under severe pressure from the current environment of high interest rates and inflation.

“But with capital, the management skills and the marketing arm of Wattie we’ll be able to get to any market anywhere in the world.”