Swallowfield PLC Acquisition (9770F)
27 February 2018 - 6:00PM
UK Regulatory
TIDMSWL
RNS Number : 9770F
Swallowfield PLC
27 February 2018
Swallowfield plc
("Swallowfield" or the "Group")
Acquisition of 'Fish' Brand
Swallowfield plc, a market leader in the development,
formulation, and supply of personal care and beauty products,
including its own portfolio of brands, is pleased to announce the
earnings enhancing acquisition of the men's grooming brand
'Fish'.
'Fish' is a well-established, authentic, contemporary brand with
a 'born in Soho' positioning reflecting a close connection with
London style trends through its link to the original Fish salon in
D'Arblay Street. This heritage underpins a range of high
performance men's hair styling products which were launched more
than 15 years ago and currently retail in Boots, Superdrug, Tesco
and Waitrose and therefore have a strong complementary fit to the
rest of our owned brand portfolio.
All related trademarks have been acquired from Fish London
Limited and stock, website domains, and other marketing collateral
has been acquired from KMI Brands Limited.
The consideration for the acquisition involves an upfront cash
consideration of GBP2.7m, with a further GBP0.3m 12-month
performance based earn out and was financed via a new term loan.
For the year to 31 December 2017, the 'Fish' brand generated net
sales of GBP1.7m and achieved GBP0.4m EBITDA.
The brand will be managed by our team at Brand Architekts in
Teddington who will seek to leverage our growing expertise in male
grooming products where our portfolio of MR., The Real Shaving
Company and Tru is seeing good growth. We see many opportunities to
accelerate the growth of the brand in the UK and beyond both in
terms of adding innovative new products to the brand and also
broadening retail distribution.
As we work to deliver these growth opportunities we are
delighted to confirm that we have engaged the founder of the brand,
Paul Burfoot, to work with us as a consultant. Paul continues to
own and operate the iconic 'Fish' salon in Soho and is renowned for
his innovative creativity as a trend setter in hair styling. His
expertise and passion for style and product will help us drive and
develop credible, ongoing innovation as well as taking an active
role in supporting the digital and social media brand
communication.
The brand's product formulations and packaging formats have a
strong fit with the technical and production expertise in our
manufacturing business and therefore offer further value creation
opportunities on the supply side.
Chris How, Chief Executive Officer, commented: "Following the
acquisitions of Real Shaving Company in 2015 and The Brand
Architekts in 2016 we have been delighted to have seen strong
growth momentum in our owned brand portfolio. This segment of our
business showed sales growth of 25% in the first half of our
current financial year and in that same period contributed 31% of
Group sales. The addition of Fish to this vibrant portfolio will
add further strength and growth potential."
For further information please contact:
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Swallowfield plc
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01823 662
Chris How Chief Executive Officer 241
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01823 662
Matthew Gazzard Group Finance Director 241
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0207 496
Alex Price / Jen Boorer N+1 Singer 3000
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Josh Royston / Hilary
Buchanan / Sam Modlin Alma PR 07780 901979
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This information is provided by RNS
The company news service from the London Stock Exchange
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