Cranswick shares slumped on Thursday following reports that a number of retailers including Aldi, Sainsbury’s and Marks & Spencer have recalled the food producer’s food-to-go products containing chicken due to concerns about salmonella contamination.
According to reports in the Daily Mail and Daily Express, among others, the cooked chicken involved came form Cranswick’s Benson Park facility in Hull, which has been closed subject to a thorough investigation.
According to the Mail, Cranswick said the salmonella was detected during a “routine internal inspection” and tonnes of food have now been seized and binned.
A spokesman for Cranswick told the Mail: “As a precautionary measure, we have asked our customers to remove any of their products containing our ready to eat chicken produced during the affected period.
“We are working closely with the Foods Standards Agency and will collaborate with their experts to resolve the matter’, adding that its factory ‘will remain closed until the investigations are complete’.”
House broker Shore Capital said that with “well-versed business continuity procedures in play”, it does not expect the Benson Park matter to be a notable financial issue for Cranswick in FY23.
“Indeed, in the big scheme of things product recalls are not uncommon across the UK food system as evidenced by the number of FSA notices but Cranswick will now be focused on current investigations,” it added.
At 0915 BST, the shares were down 7% at 2,866p.
