Supreme acquires SlimFast UK and Europe for twenty one million pounds

Supreme, the London-listed consumer goods company renowned for Typhoo Tea, has secured the UK and European operations of SlimFast in a deal valued at £20.1 million. This acquisition, from Irish nutrition group Glanbia, sees Supreme take stewardship of one of the most established names in the diet-shakes field. The transaction highlights Supreme’s ambition to broaden its drinks and wellness portfolio, which already includes Perfectly Clear flavoured water and FoodIQ, a supplier of sports nutrition products.

SlimFast, founded in America in 1977, experienced a surge in popularity throughout the 1980s as a meal replacement for weight loss. Recent years brought mounting competition from alternative weight-loss products, specifically injectable medications such as Wegovy and Mounjaro. Glanbia, having acquired SlimFast and several other brands for $350 million from Kainos Capital in 2018, decided earlier this year to divest the brand’s UK and European activities. Last year alone, SlimFast UK and Europe generated unaudited revenues of £25.5 million and produced an adjusted gross profit of £9.7 million.

Manchester-based Supreme plans to integrate manufacturing of all SlimFast powdered products in-house. By consolidating production, the company aims to enhance profitability and operational efficiency. Chief executive Sandy Chadha expressed confidence in the revitalisation of the SlimFast brand, citing significant opportunities to restore its former prominence within Britain’s rapidly expanding health and wellness sector.

Plans include expanding product lines and distribution channels, with the intention that SlimFast regains its place on store shelves and in the hearts of British consumers. Upon news of the acquisition, Supreme’s share price rose by 8p, rising 5.1% to 165p in afternoon trading, reflecting market optimism regarding the transaction and the company’s outlook as a diversified consumer goods provider.