Supreme PLC enters advanced talks to acquire British tea brand Typhoo Tea

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Supreme PLC, a leading consumer goods distributor based in London, is in advanced discussions to acquire Typhoo Tea, a historic British tea brand currently under administration. While negotiations with administrators have progressed significantly, Supreme clarified that no final terms have been agreed, and the outcome remains uncertain.

The potential acquisition, which would be financed through Supreme’s existing bank facilities, could mark a significant expansion of the company’s already diverse portfolio. Typhoo Tea, despite its recent financial struggles, is a well-known name in the UK tea market, making it a valuable addition to Supreme’s lineup of products.

Supreme’s business model, which spans product development, manufacturing, and distribution, has established the company as a key player in the fast-moving consumer goods sector. The company currently operates across six categories: batteries, lighting, vaping, sports nutrition and wellness, branded distribution, and soft drinks. With over 3,000 active accounts and a retail footprint that includes major players like Tesco, Sainsbury’s, Amazon, and Aldi, Supreme is well-positioned to bring Typhoo Tea back into the market spotlight.

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Supreme has grown significantly in recent years, particularly through acquisitions. Its purchase of Clearly Drinks in the soft drinks sector added established brands like Perfectly Clear and Northumbria Spring to its portfolio. The company has also achieved notable success with in-house brands such as 88Vape, Sci-MX, and Battle Bites, which have strong presences in the vaping and wellness sectors.

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Industry analysts suggest that acquiring Typhoo Tea could help Supreme diversify further and tap into the UK’s tea market, which continues to enjoy robust consumer demand despite increased competition. The move aligns with Supreme’s strategy of leveraging its vertically integrated operations to revitalise well-known brands.

Supreme’s shares dropped slightly by 3.2% to 168.50 pence during late trading on Thursday. However, the stock has gained 57% year-to-date, reflecting investor confidence in the company’s growth strategy.

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A company representative noted that while discussions have reached an advanced stage, there is no certainty the deal will materialise. If completed, the acquisition would allow Supreme to reintroduce Typhoo Tea to a wide consumer base, potentially restoring the brand’s former prominence in the tea market.


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