Welsh baker Finsbury ups stake in EU distributor in line with plans for European expansion
Welsh baker Finsbury Food Group, which supplies cakes to Costa Coffee, has upped its stake in its part-owned EU distribution company, Lightbody-Stretz, as it pushes forwards with plans to expand its business in Europe.
Finsbury has purchased an extra 35 per cent stake in Lightbody-Stretz – the holding company which runs Finsbury’s European distribution business – on top of its 50 per cent stake in the firm, after striking a deal with Phaste.
The deal, which is set to see Finsbury up its holdings in Lightbody-Stretz to 85 per cent, will see Finsbury acquire the stake in Lightbody-Stretz for €7,137,000 on a cash free/ debt free basis.
In a statement, Finsbury CEO John Duffy said the deal is aimed at expanding Finsbury’s European business. Lightbody-Stretz is primarily focused on the French and Beneluz markets.
“We are pleased to announce this further investment in our French subsidiary, which increases our stake to 85%, supporting the successful local management team’s growth ambitions and our continued desire to invest behind our European growth,” Duffy said.
“This acquisition is aligned to the Company’s M&A strategy as the Board continues to grow the Group both in the UK and in Europe, including the potential for meaningful acquisition.”
The deal comes on the back of a longstanding relationship between the two firms, through which Lightbody has distributed Finsbury’s products in Europe for almost two decades