Acquisition Details
Kitwave Group plc, a prominent delivered wholesale business, has recently completed the acquisition of Total Foodservice Solutions, an independent food wholesaler based in northern England. The acquisition, valued at £21 million in cash, was financed through Kitwave’s existing banking facilities.
About Total Foodservice Solutions
Total Foodservice Solutions boasts a rich history spanning over 130 years in the food wholesale industry. The company specialises in delivering a comprehensive range of wholesale catering supplies, encompassing approximately 4,000 product lines. These include chilled, frozen, and ambient food items, as well as non-food and cleaning products. With operational depots located in Clitheroe, Lancashire, and Huddersfield, West Yorkshire, Total Foodservice serves a diverse clientele across the North of England. Its customer base comprises establishments such as licensed trade and restaurants, coffee shops and sandwich bars, schools and universities, and the care industry.
Financial Performance
As of the financial year ended April 30, 2023, Total Foodservice reported robust financial figures. The company achieved an audited turnover of £25.4 million, with a profit before tax amounting to £2 million. Additionally, its balance sheet reflected net assets totaling £8.5 million.
Integration with Kitwave
Following the acquisition, Total Foodservice Solutions will be seamlessly incorporated into Kitwave’s existing Foodservice division. This division presently encompasses the trading operations of several entities, including David Miller Frozen Foods Ltd, MJ Baker Foodservice Ltd, Westcountry Food Holdings Ltd, and HB Clark & Co (Successors) Ltd.
CEO Statement
Ben Maxted, the chief executive officer of Kitwave, expressed satisfaction with the acquisition of Total Foodservice Solutions. He emphasised the strategic significance of the acquisition, noting that it aligns with Kitwave’s growth objectives. Maxted highlighted Total Foodservice’s status as a reputable player in the catering industry and expressed optimism about the integration process.
Future Growth Strategy
Kitwave remains committed to its growth strategy, with a keen focus on identifying further opportunities within the UK’s wholesale market. The company aims to deliver enhanced value to its stakeholders by capitalising on growth prospects and expanding its product offerings.
Q&A Section
Q1: What motivated Kitwave Group plc to acquire Total Foodservice Solutions?
A1: Kitwave recognised Total Foodservice Solutions as a strategic addition to its portfolio, offering an opportunity to expand its product range and geographic presence.
Q2: How does Total Foodservice Solutions contribute to Kitwave’s Foodservice division?
A2: Total Foodservice enhances Kitwave’s Foodservice division by providing access to a diverse customer base and a comprehensive range of wholesale catering supplies.
Q3: What are Kitwave’s future plans following the acquisition?
A3: Kitwave intends to pursue further growth opportunities within the UK’s wholesale market, leveraging its expanded capabilities and resources.
