Glisten expand both at home and away
Foods Limited and announced details of an office in Rotterdam with
the aim of increasing foreign sales.
The acquisition of Lyme Regis is for an undisclosed sum.
Lyme Regis, which had 2004 sales of £3.9 million, is a manufacturer and supplier of organic cereal and fruit snacks.
The company currently supplys major UK retailers such as Sainsbury, Tesco and Waitrose, along with a broad range of healthy food outlets, and boost Glisten's already strong position in the cereal and health bar sector.
Lyme Regis, which was established in 1968, sees approximately 60 per cent of its sales from the Lyme Regis brand, which includes a strong organic no added sugar range for children. The firm has also just launched the Bright brand, which is aimed at adults; the remainder of sales consists of a small number of own label contracts.
Glisten's international office has the brief to further develop the export business across all product sectors. Foreign sales, distributed throughout over 20 countries, currently account for 13.6 per cent of the company's turnover. The company believes that with an international office even stronger growth in the area is possible.
Glisten has warned that due to the costs associated with integrating Lyme Regis' systems and processes along, with the costs of setting up an international division, immediate contributions from these ventures are likely to be limited.
Future earnings are expected to increase as the Lyme Regis and Bright brand's growth potential builds the company's overall position in the confectionery and snacking markets.
Glisten's chief executive Paul Simmonds said:
"The acquisition of Lyme Regis builds on the strong position we already have in the dynamic cereal and health bars sector, and adds a unique organic and branded element to our product offering. Although it is relatively small, Lyme Regis is a strong, well run business with good profitability and cash flow operating in a valuable and growing niche that fits our business model perfectly."
The Lancashire firm's principle activities are the manufacturing of chocolate and sugar based confectionery. Glisten entered the AIM (Alternative Investments Market) in 2002 and already widely serves, high street retailers and major food manufacturers, as well as food service and export markets.
