A.G. Barr PLC, the soft drinks group behind brands such as Irn-Bru, has announced that it has acquired Funkin Limited, a UK-based producer of cocktail products.
A.G. Barr said that it had purchased Funkin from its founding shareholders for an initial cash consideration of £16.5 million ($25.3 million) plus up to a further £4.5 million ($6.9 million) depending on certain financial performance targets.
Funkin offers a broad range of premium cocktail solutions including fruit purees, cocktail mixers and syrups, and operates mainly from the UK, although it also has business in USA, and Europe. The company achieved revenues of £9 million in 2014.
A. G. Barr said that the acquisition of Funkin would strengthen its current portfolio and would allow it to capitalize on growth in the UK cocktail market.
Commenting on the acquisition, A.G. Barr chief executive Roger White said, “We are delighted that Funkin will become part of A.G. BARR. We believe that Funkin has created a unique niche in a growing market and together we can drive exciting growth in a new sub category. We have a proven track record of acquiring and developing high growth brands such as Rubicon. Under our ownership we believe Funkin is even more strongly positioned to take advantage of a number of exciting growth opportunities”.
Source: A.G. Barr