REG - Kitwave Group PLC - Acquisition of WLG (Holdings) Limited

KitwaveAnnouncement

20/11/2023 07:00

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RNS Number : 9023T  Kitwave Group PLC  20 November 2023

 

20 November 2023

Kitwave Group plc

 

("Kitwave", the "Group" or the "Company")

 

Acquisition of WLG (Holdings) Limited

 

Kitwave Group plc (AIM: KITW), the delivered wholesale business, is pleased to
announce that the Group has acquired the entire issued share capital of WLG
(Holdings) Limited, which trades as Wilds of Oldham ("Wilds of Oldham"), a
composite drinks wholesaler (the "Acquisition"). The total gross consideration
for the Acquisition, payable in cash, has been funded from the Group's current
banking facilities.

 

Established for over 25 years, Wilds of Oldham is a composite, family-run
drinks wholesaler supplying the on-and-off trade. Based in Oldham, Manchester,
the company has a history of helping businesses achieve the best in licensed
trade supplies. Currently, there are 35 members of staff, with 11 fleet
vehicles that deliver to customers within a 50-mile radius of its warehouse in
Oldham. In the financial year ended 30 September 2022, the business had a
turnover of £10.2 million.

 

The Acquisition will be incorporated into Kitwave's existing Foodservice
on-trade business H.B. Clark & Co. (Successors) Limited ("HB Clark").

 

Commenting on the Acquisition Paul Young, Chief Executive Officer of Kitwave,
said:

 

"We are delighted to announce the acquisition of Wilds of Oldham, which will
assist in the distribution of HB Clark's alcohol and soft drinks products
throughout the North West. Wilds of Oldham is a proven, successful business
that will make a strong addition to our Foodservice division.

 

"At Kitwave, we remain focussed on capitalising on the fragmented UK wholesale
market and will continue to identify the best opportunities to deliver the
most value for our stakeholders.

 

"We are looking forward to working closely with the Wilds of Oldham team and
integrating the business into the Group's Foodservice division."

 

- Ends -

For further information please contact:

 Kitwave Group plc                                    Tel: +44 (0) 191 259 2277

 Paul Young, Chief Executive Officer

 David Brind, Chief Financial Officer

 www.kitwave.co.uk (http://www.kitwave.co.uk/)
 Canaccord Genuity Limited                            Tel: +44 (0) 20 7523 8150

(Nominated Adviser and Sole Broker)

 Bobbie Hilliam

 Alex Orr
 Yellow Jersey PR                                     Tel: +44 (0) 20 3004 9512

(Financial media and PR)

 Sarah Hollins

 Shivantha Thambirajah

 Bessie Elliot

 

Company Overview

Founded in 1987, following the acquisition of a single-site confectionery
wholesale business based in North Shields, United Kingdom, Kitwave is a
delivered wholesale business, specialising in selling and delivering impulse
products, frozen, chilled and fresh foods, alcohol, groceries and tobacco to
approximately 42,000, mainly independent, customers.

 

With a network of 29 depots, Kitwave is able to support delivery throughout
the UK to a diverse customer base, which includes independent convenience
retailers, leisure outlets, vending machine operators, foodservice providers
and other wholesalers, as well as leading national retailers.

 

The Group's growth to date has been achieved both organically and through a
strategy of acquiring smaller, predominantly family-owned, complementary
businesses in the fragmented UK grocery and foodservice wholesale market.

 

Kitwave Group plc (AIM: KITW) was admitted to trading on AIM of the London
Stock Exchange on 24 May 2021.

 

For further information, please visit: www.kitwave.co.uk
(http://www.kitwave.co.uk) .

 

This announcement contains inside information for the purposes of article 7 of
the Market Abuse Regulation (EU) 596/2014 as amended by regulation 11 of the
Market Abuse (Amendment) (EU Exit) Regulations 2019/310. With the publication
of this announcement, this information is now considered to be in the public
domain.

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