CapEQ assist FMCG group Supreme with acquisition of Liberty Flights
Theale-based CapEQ have brokered a deal between Supreme and vaping manufacturer Liberty Flights.
Fast Moving Consumer Goods (FMCG) supplier and manufacturer Supreme has acquired the Lancashire firm for a total consideration of up to £14.75m.
James Pugh, director of CapEQ, said: “Many congratulations to both Liberty Flights and Supreme PLC. It’s been a genuine pleasure to help bring these companies together, and it has been self-evident through the process that they are remarkably similar in their ethical and commercial approach to business. By ensuring that there was time focussed on post completion integration we are confident that both businesses will thrive. It has been an honour and fun helping Matt, Abe and Chris to achieve their goals, and we look forward to many years of on-going banter with them.”
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Founded in 2010, Lancashire-based Liberty Flights specialises in e-liquid and vaping devices, alongside distributing a large catalogue of global third-party e-liquid brands.
Headquartered in Manchester, Supreme supplies products across five key categories – batteries, lighting, vaping, sports nutrition & wellness, and branded household consumer goods.
The group has over 3,300 active business accounts with retail customers who manage over 10,000 branded retail outlets. Customers include B&M, Home Bargains, Poundland, The Range, Sports Direct, Londis, SPAR, Costcutter, Asda, Halfords, Iceland and HM Prison & Probation Service.
Supreme CEO Sandy Chadha said: “We are delighted to be acquiring Liberty Flights, a business I have personally known since its inception and a brand I have long admired. The combination of Liberty Flights and Supreme’s existing vape offerings couldn’t be more aligned and is highly complementary across our respective manufacturing, product, and customer profiles.
“In addition, the acquisition further builds on our significant market reach in the UK, accelerating our product presence in the fast-growing pod systemmarket, a sizeable growth opportunity for Supreme.
“We look forward to welcoming Liberty Flights into the Supreme group and updating shareholders on our progress over the course of the current financial year.”
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The acquisition is expected to be immediately earnings enhancing for the Group, with Liberty Flights expected to operate as a standalone entity for 12 months before being fully integrated into Supreme.
Liberty Flights Managing Director Matthew Moden added: “Joining a bigger parent group not only creates new opportunities for us to stay ahead in the highly competitive UK vaping market, but also opens up career paths for our employees, and gives customers access to an enhanced product range.
“We are all excited to be starting a new chapter and look forward to working with Supreme’s excellent management team, who really reflect our open and ethical approach to business We are excited to explore the opportunities within the Supreme group.”
For the year ended 31 January 2021, Liberty Flights generated revenues of approximately £9 million and EBITDA of £1.5 million.
