Pure Foods Tasmania adds to seafood arm through M&A

Pure Foods Tasmania has added to its seafood concern done the acquisition of section steadfast Brilliant Food Australia.

The publically listed institution has been manufacturing Brilliant Food Australia products since November.

Pure Foods Tasmania markets seafood nether its Woodbridge Smokehouse brand.

Sydney-based Brilliant Food Australia sells a scope of salmon and trout products to wholesale clients. Its merchandise line-up besides includes a scope of fish-based spreads and dips.

In a stock-exchange filing contiguous (2 April), Pure Foods Tasmania said the woody would mean the institution moves from a 12.5% borderline nether the contract-manufacturing woody betwixt the 2 businesses to a “full merchandise income margin”.

Brilliant Food Australia’s products are sold successful “only 50 stores crossed a constrictive geographical area, providing a instauration for broader nationalist enlargement alongside the Woodbridge Smokehouse products”, it added.

Pure Foods Tasmania said it would wage A$300,000 (US$205,888) – successful the signifier of shares – for the business.

The deal, the institution added, would person boosted its 2025 fiscal twelvemonth gross by 24%. In that fiscal year, which ran to 30 June, it booked gross of A$5.4m.

On an annualised basis, Brilliant Food Australia generates astir A$1.3m successful revenue, Pure Foods Tasmania said.

Malcolm McAully, Pure Foods Tasmania’s enforcement chairman, added: “Brilliant Food Australia is simply a proven, well-regarded marque with fantabulous merchandise acceptable for our halfway concern strategy. The acquisition increases utilisation of our Woodbridge installation and provides a level to grow organisation of the merchandise scope done our existing network.”

Pure Foods Tasmania has a stated strategy of “acquiring and integrating premium nutrient businesses with established product-market fit”.

In November, the institution purchased Australian ice-cream marque Elato successful a akin share-based deal.

In the 12 months to the extremity of June, Pure Foods Tasmania reported a nett nonaccomplishment of A$2.8m, compared to 1 of A$3.9m a twelvemonth earlier.

Revenues declined 28% to A$5.4m. The institution said its show was impacted by the exit from “unprofitable” merchandise lines.

Last month, Pure Foods Tasmania booked an 18.4% autumn successful half-year revenues to A$2.6m. A leap successful taxation expenses meant the concern posted a nett nonaccomplishment of A$6.8m for the six months to the extremity of December, versus 1 of A$1.3m a twelvemonth earlier.

"Pure Foods Tasmania adds to seafood limb done M&A" was primitively created and published by Just Food, a GlobalData owned brand.

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