Shortly after posting a 5.5 percent drop in revenue, troubled Swiss-Irish baked goods group Aryzta is raising funds through the sale of its foodservice supplier La Rousse Foods to Irish wholesaler Musgrave.

Since taking over as CEO earlier this year, Kevin Toland is on a mission to turn around Aryzta and put La Rousse up for sale a few months ago.

Operators of the SuperValu chain in Ireland as well as Centra convenience stores and the Mace brand in Northern Ireland, Musgrave has stepped in to buy La Rousse for an undisclosed sum.

The deal is subject to approval by the Competition and Consumer Protection Commission.

La Rousse Foods is one of the leading operators in the foodservice sector, specializing in the supply of fine foods to premium food establishments for over 25 years. With offices in Dublin and Belfast, the company serves more than 1,500 customers.

Musgrave’s intention is that La Rousse Foods will continue to operate as a standalone brand post-acquisition.

“La Rousse Foods is an excellent strategic fit for our business and complements our market-leading foodservice offer,” says Chris Martin, Musgrave CEO.

“We look forward to working with the La Rousse Foods team and customers who will benefit from the support of Musgrave in terms of supply chain infrastructure and access to an increased product range.”

“The acquisition forms part of our Growing Good Business strategy, which focuses on growing our brands in the food market across the island of Ireland.”

Last week, reported how Aryzta has experienced a 5.5 percent fall in revenue to €909.7 million (US$107 million) in the three months to 31 October. According to the group’s revenue update, Group organic revenue declined by 2.6 percent in the period. Currency had a 2.9 percent negative impact on revenue.