The acquisition followed reports that food and drink merger and acquisition activity is on the rise, but the value of deals has dropped in the face of persistent macroeconomic headwinds and the absence of larger players in the market.
Around Noon’s acquisition adds more than 300 employees – boosting its headcount to 800 members of staff – as well as a new north London production facility and a range of new blue-chip clients.
The Soho Sandwich Company will continue to operate under its own brand within the group and will continue to be managed by existing managing director Daniel Silverston.
Eyes on the prize
Commenting on the deal, Around Noon Foods chief executive Gareth Chambers said: “We’ve been admirers of The Soho Sandwich Company for some time. The business has a strong reputation for quality, excellence and innovation.
“This represents a fantastic opportunity for all involved due to the incredible alignment in terms of our values and core purpose.”
Chairman Howard Farquhar said the purchase would enable the business to continue to scale and grow and move closer to its £100m revenue target.
“This deal is the third acquisition to have occurred since Gareth and I completed the MBO in 2016,” he added. “It is also a significant opportunity for the team at The Soho Sandwich Company and their existing customers.”
Founded as a small coffee shop in North London in 2000, The Soho Sandwich Company manufacturers and distributes more than 15 million sandwiches that consumers across the UK.
Managing director Daniel Silverton concluded: “Around Noon is in our view one of the most innovative and exciting FTG companies in the UK. The opportunity to become part of the Around Noon Group is a huge win for our business.
“There are great synergies in terms of ambition and culture and the move is extremely beneficial, for our team and our customers.”
Meanwhile, last month, Vorenta Group completed a management buyout led by the company’s senior management team in the face of concerns raised by the Competition and Markets Authority (CMA) over the merger between the group and Eville & Jones.