Keenan Systems has gone into receivership. The Carlow company, famous for its diet feeders, was placed into receivership by the directors on Tuesday. Hopes of maintaining the business as a going concern now rest on a purchaser being found.

Alltech, as revealed exclusively in the Irish Farmers Journal last week to be in negotiations with Keenan, have confirmed it is in due diligence talks with both Keenans and the receivers, Kieran Wallace and Cormac O’Connor of KPMG.

Keenan employs 220 people, 177 of them in Ireland. It is an important employer in Carlow, and has close links with a number of local companies, whose hopes also now rest on a takeover. If a buyer is not found, the business is likely to be wound up. It is expected that the next few days will prove decisive for the company’s future.

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Family-owned

A family-owned business, it was founded by Richard Keenan, whose son Gerard succeeded him as CEO. Keenan built its first mixer wagon in 1983 and at its peak manufactured 2,500 machines per year.

Diversification into nutrition advice and support services for farmers have not delivered hoped-for revenues.

Alltech has sales of over €2bn in 127 countries and employs 4,700 employees. Initially an animal nutrition company, it has diversified into crop science and human health. While based in Kentucky, founder Pearse Lyons is Irish, and the company has a strong footprint here.

A statement from Alltech said: “Both Keenan and Alltech are private, family-owned companies and have long been firm friends in the field of agri-business. Alltech has identified various growth opportunities in the on-farm performance arena and believe Keenan could offer further technological advancement for moving farmers towards greater efficiency and profitability. Keenan exports to approximately 25 countries, with Alltech’s global presence in more than 120 countries, Alltech believe there are opportunities for growth and synergy.”