UK-based sweet baked goods producer Regal Food Products Group (Regal Foods) has acquired the local cheesecake manufacturer Love Cheesecakes.
The terms of the deal were not disclosed.
In a statement, Younis Chaudhry, the CEO of Regal Foods, said the purchase would help the group to “further strengthen our chilled desserts portfolio allowing us to give customers a solid offer across all ranges and price points”.
Love Cheesecakes makes a range of cheesecakes that are sold to wholesale, foodservice and hospitality customers in the UK. Its goods are also sold direct-to-consumer through large-scale outdoor events and events catering, and online via e-commerce platforms such as Amazon.
Its portfolio includes single serve and canapé-size cheesecakes, which come in lemon and lime, milk and white chocolate, and caramel and toffee flavours.
Over the past two years, Regal Foods’ M&A strategy has been focused on expanding its desserts range for foodservice and wholesale customers. In 2022, the group snapped up Just Desserts Yorkshire, while in January it also added the baker Love Handmade Cakes to its roster.
Speaking further on the purchase of Love Cheesecakes, Chaudry said: “With a catalogue of over 100 products, there will be plenty of opportunities for new product developments, giving us the platform to bring a whole new range of exciting flavours and combinations to customers old and new.
“As a group, we have the resources and infrastructure in place to bring Love Cheesecakes in line with our vision and family of dessert brands and look forward to integrating the bakery and its assets into one of our existing manufacturing sites.
“This strategic step will further strengthen our growth and open up opportunities in the chilled desserts category.”
James Asquith, the founder of Love Cheesecakes, added the move “marks an exciting new chapter” for the business, “promising tremendous growth and innovation”.
He said: “I am confident that Regal Food Products Group’s expertise and resources will take the bakery to new heights, reaching even more customers and continuing to deliver the quality and values we as a business stand for.”
The purchase follows Regal Foods' acquisition of a 45,000 square foot facility in the northern English city of Bradford earlier this month.
Chaudry said the new space would generate “several new jobs…in a range of areas of the business”, and would be essential to Regal Foods' future “development and growth”.
In the year to 31 May 2023, the company’s turnover reached £31.8m ($41.5m), up 36.8% on 2022. Gross profits increased 7.2% year-on-year to £3.2m, while operating profits grew 13.9% on the previous year, to £1m.
