Applied Nutrition, a UK-based leading sports nutrition, health and wellness brand, has acquired the assets of Nutrablend Group, a US-based sports nutrition manufacturer, for $16m in cash, as it continues to expand its presence in North America.
The acquisition includes a fully fitted-out manufacturing facility in Buffalo, New York, Nutrablend’s two in-house brands, Basic Supplements and GR8 Lifestyle, and an experienced management team with around 100 employees, giving Applied Nutrition a major manufacturing and innovation hub in the US market.
The fully integrated 107,000 sq ft site brings together manufacturing, warehousing, R&D and design capabilities under one roof, giving the business greater speed, flexibility and scale as demand for its products continues to grow.
The acquisition is expected to bring a number of strategic benefits, including:
- Production capacity of up to c.$300m per year in the US, supporting growing demand across Applied Nutrition and ABE products, while also creating opportunities for white label manufacturing
- Faster lead times and improved speed to market for new product launches across North America
- Lower freight, logistics and import duty costs through local manufacturing capabilities
- Greater operational and supply chain resilience, with less reliance on cross-border shipping
- Additional manufacturing headroom in the UK as US sales volumes transition to the new facility
Applied Nutrition’s existing US production volume currently manufactured in the UK will move to the Buffalo facility, while the site will continue producing Basic Supplements and GR8 Lifestyle products. The acquisition also creates opportunities to introduce Applied Nutrition products to Nutrablend’s existing customer base, expand the reach of the acquired brands through the Group’s global distribution network, and grow its white label manufacturing.
The Group plans to further expand Nutrablend’s white label manufacturing offering across the US, Canada and Latin America, supporting brands looking to tap into the ongoing growth of the sports nutrition, health and wellness categories across the region.
Thomas Ryder, CEO of Applied Nutrition, said:“This acquisition is an important step for Applied Nutrition in North America. By establishing our own manufacturing and innovation platform in the region, we will be better placed to grow the business, bring new products to market quickly and improve service for customers.
“The US remains a major long-term growth market for the Group, and this investment gives us the infrastructure and flexibility to support that opportunity. We are looking forward to building on the opportunities this creates for Applied Nutrition and our partners across North America.”
Jack Sehgal, CEO of Nutrablend, said: “We are very pleased to be joining the Applied Nutrition Group, whose strong brand and global reach make it an ideal partner for the next phase of our growth. Applied Nutrition’s status as a publicly listed company provides an additional level of transparency, credibility and trust, which we believe will resonate strongly with customers and partners across North America and afar.
This transaction brings together complementary capabilities and creates an exciting platform for future growth.”About Applied Nutrition PLC
Applied Nutrition plc (LSE: APN) is a leading sports nutrition, health and wellness brand, which formulates and creates nutrition products with a stated aim of being the world’s most trusted and innovative brand in the market.
Headquartered in the UK, the Group sells products in over 85 countries worldwide and has a diverse product range, targeting elite athletes, gym goers and health-conscious consumers. Applied Nutrition has developed and launched four ranges under the umbrella of the Applied Nutrition brand – Applied Nutrition, ABE, BodyFuel, and Endurance. Across the four ranges, the Group sells over 120 different products.
The Group’s success has been built on an exceptional product range developed in-house in Knowsley, Liverpool and Buffalo, New York, by teams of experts, allowing products to be developed efficiently delivering new innovation to the market, keeping existing products up to date, and introducing products aligned with latest trends.
The Group largely operates a global business-to-business (B2B) model, which has facilitated a low risk, highly cost-effective go-to-market strategy and has enabled strong, profitable growth in the UK, Europe and other international geographies. The vertically integrated B2B business model and strategy has enabled the Group to become a fast-growing, highly profitable and cash generative global supplier in the sports nutrition, health and wellness market.
