The Campbell Bewley Group has continued its expansion outside Ireland with the acquisition of two contract catering companies in Britain for more than £3 million. The acquisitions will mean that about one-third of the group's £61 million contract catering turnover will now come from Britain.

Campbell Bewley has bought Caterwise in Wales and Effective Partnerships in Newbury in the south-east of England. Combined, the two businesses have 80 contracts and employ 500 people. They will add to Campbell Bewley's existing contract catering operations, which have 115 contracts in the north and midlands.

Turnover in contract catering in Britain this year is expected to be £21 million from more than 200 contracts, including the two new acquisitions.

Managing director, Mr Michael Cummins, said that the expansion in Britain was part of a strategy to reduce the dependence on the Irish market. "The Irish market is small and finite and we're the number one player. We feel that there are opportunities in the UK and the US, and our aim in the UK is to create a chain of regional companies with growth coming organically and through more acquisitions," he said.

He added that, by the end of 1998, Campbell Bewley aimed to be fourth in the British contract catering market, behind the three giants of the industry - Gardner Merchant, Sutcliffe and Compass.

This is the second overseas acquisition by Campbell Bewley in the space of a few months. Last August, the group paid an estimated £5 million for the Rebecca's cafe chain and contract catering business in Boston. Rebecca's had estimated sales in 1997 of around $20 million (£14.5 million), and the acquisition was part of a strategy to build the Bewley's brand in the US. Mr Cummins said that a 12th Rebecca's cafe had opened in Boston and the group planned to open a Bewley's Coffee House in the American city this year.

Campbell Bewley is due to announce 1997 results in May, with substantial growth forecast in both turnover and profit.