Bunzl PLC has recently announced the purchase of an 80% stake in Nisbets, a leading catering equipment distributor, for an initial cash payment of 339 million pounds ($429.6 million).
Expansion Strategy
The distribution-and-outsourcing group has strategically positioned itself to potentially acquire the remaining stake in Nisbets in the future, depending on the company’s financial performance at the time of exercise and certain conditions.
About Nisbets
Nisbets operates as an omni-channel distributor of catering equipment and consumables in regions such as the U.K. & Ireland, Northern Europe, and Australasia. With a focus on providing a wide range of own-brand products to foodservice customers, Nisbets reported revenue of GBP498 million and a profit of GBP40.2 million in 2023.
Additional Acquisition
In addition to the acquisition of Nisbets, Bunzl PLC has expanded its portfolio by purchasing Pamark in Finland, a distributor specializing in cleaning & hygiene, healthcare, foodservice, and safety products. Pamark reported revenue of 56 million euros ($60.6 million) in 2023.
Future Prospects
Chief Executive Frank van Zanten expressed optimism about the company’s growth prospects for 2024, citing the recent acquisitions as a strong start to the year. With an active acquisition pipeline and a solid balance sheet, Bunzl PLC looks poised for continued success.
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