Premium Food Group offers to drop Vion deal if Westfleisch takes over
German meat processor proposes a resolution to ongoing regulatory stalemate
GERMANY – Premium Food Group has signaled it may abandon its attempt to acquire additional assets from Netherlands-based Vion in Germany if rival processor Westfleisch agrees to take over the sites.
The company’s previous bid, which was blocked by Germany’s competition authority in June, faced criticism for potentially harming farmers and smaller competitors in the region.
At a farming conference in Bavaria, managing partner Clemens Tönnies suggested that the deal could be canceled if Westfleisch committed to the takeover, emphasizing the need to resolve uncertainty affecting local farmers.
Premium Food Group had been aiming to acquire slaughterhouses in Buchloe, Crailsheim, and Waldkraiburg, along with a deboning plant in Hilden and two hide-processing facilities in Memmingen and Eching-Weixerau.
Despite the Bundeskartellamt’s decision, the company had considered challenging the block through German courts or seeking ministerial approval, viewing the acquisition as still viable under regulatory review.
A company spokesperson acknowledged that pursuing legal or ministerial options would have prolonged the process, leaving southern Germany’s agricultural sector facing ongoing uncertainty.
Westfleisch, when asked about the proposal, said it welcomed Premium Food Group’s attempt to end the impasse but noted it had not yet reviewed the documents in detail and could not make a definitive statement on its role.
Vion initiated closures of its German meat-processing assets in 2023 and subsequently announced plans to withdraw entirely from the market, leaving its facilities available for potential buyers.
In 2024, Premium Food Group, formerly Tönnies Group, purchased Vion’s cattle slaughterhouse and pre-packaging site in Altenburg in Thuringia and acquired Ahlener Fleischhandel, a ham processing plant in Westphalia.
Earlier this year, the company disclosed plans to close the ham production facility, reflecting broader restructuring efforts within its operations.
Vion released a statement indicating it had discussed with Premium Food Group ways to allow other parties to engage with its sites, stressing that multiple interested buyers had already approached them.
The Netherlands-based processor added that all serious proposals would be evaluated to determine the most suitable long-term solution for its business, staff, and regional partners.
The proposal from Premium Food Group introduces a potential alternative path for the southern German meat-processing market, contingent on Westfleisch’s willingness to step in.
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