SLIMFAST acquired by GLANBIA

Glanbia moved in October 2018 to acquire SlimFast, the weight-management and wellness brand family, from KSF Holdings and HNS Intermediate Corporation, both backed by private equity firm Kainos Capital, for . The package also brings nutritional supplement brands Healthy Delights and Nu-Therapy into the fold. Based in Palm Beach Gardens, Florida, SlimFast sells diet shakes, bars, snacks, packaged meals and other supplement foods, distributed mainly through the food, drug, mass and club channel across the US and UK. In 2017 the business generated net sales of and adjusted EBITDA before non-recurring costs of , though after non-recurring supply chain transition costs it posted a net loss before tax of $12 million; gross assets at the 2017 financial year end stood at $136 million. Glanbia intends to run SlimFast inside its Performance Nutrition segment, alongside Healthy Delights and Nu-Therapy, framing the deal as an adjacency to that portfolio within the $8 billion weight management nutrition market. Kainos had acquired SlimFast from Unilever in 2014, when the business came with no employees or systems; under CEO Chris Tisi the sponsor built a team of more than 60 people in the US and UK, redesigned packaging across the range and relaunched advertising. Final consideration depends on actual working capital at completion, with no other deferred component, and Glanbia will finance the deal from available banking facilities. Closing was anticipated before the end of 2018, subject to customary completion conditions, agreed closing accounts and regulatory approval. Harris Williams and Sawaya Partners advised SlimFast, with Winston & Strawn as legal counsel.