Real Good Food Acquires Rainbow Dust Colours

 Breaking News
  • European Commission Clears Bayer’s Acquisition of Monsanto The European Commission has approved under the EU Merger Regulation the $62.5 billion acquisition of Monsanto by Bayer. The merger is conditional on the divestiture of an extensive remedy package, which addresses the parties’ overlaps in seeds, pesticides and digital agriculture. Commissioner Margrethe Vestager, in charge of competition policy, says: “We have approved Bayer’s plans to [...]...
  • Management Plan to Fortify Fishing Sector in Western Mediterranean Sea The European Commission has proposed a multi-annual plan for fish stocks in the western Mediterranean Sea. The proposal covers demersal fish stocks, ie fish that live and feed at the bottom of the seabed, and bring a significant income to the fisheries sector in the region. According to the latest data, it is estimated that in 2015, [...]...
  • Major International Summit in Belfast to Tackle Escalating Problem of Food Integrity Food-security experts from all over the world will converge on Belfast from 28-31 May 2018 for a major Summit on how to feed a growing global population – amid massive challenges such as climate change, Brexit, labyrinthine food-supply chains and food fraud on a global scale. The Belfast Summit on Global Food Integrity will be chaired by Professor Chris Elliott [...]...
  • Cargill’s Launches De-oiled Rapeseed Lecithin Products In response to growing consumer demand for label-friendly ingredients, Cargill is introducing a new range of de-oiled lecithin products to complete its portfolio of GMO and non-GMO lecithin products.  A first to market in Europe, Cargill’s de-oiled rapeseed lecithin products help bakery and snacks manufacturers deliver the recognizable ingredient label that consumers want, at an [...]...
  • Tetra Pak Scoops Top Award For Manufacturing Excellence Tetra Pak’s packaging material factory in Izmir, Turkey, has received the world’s top award for manufacturing excellence. In doing so, it becomes only the 22nd factory worldwide to win the prestigious award in more than 40 years. Appraised by the Japan Institute of Plant Maintenance​, the World Class Total Production Maintenance (TPM) Award is presented to facilities that [...]...

Real Good Food Acquires Rainbow Dust Colours

Real Good Food Acquires Rainbow Dust Colours
January 23
12:36 2015

UK diversified food business Real Good Food has completed the acquisition of Rainbow Dust Colours, a specialist supplier of cake decorating products to the sugarcraft industry, including coloured edible glitters, dusts, sprinkles and food paints. RGF is paying an initial £4 million, with an additional cash consideration of up to £3.5 million in the form of an earn-out based on gross margin achieved in the 12 months following completion of the acquisition. The initial consideration has been satisfied in cash, funded by a new banking facility with Lloyds Bank.

The two founder directors of Rainbow Dust, Gary Brown and Carol Brown, will be joining RGF and will continue to run it as a standalone business within the RGF portfolio.

Rainbow Dust employs 28 people and operates out of a manufacturing site near Preston in Lancashire. For the 12 months to 31 July 2014 Rainbow Dust reported turnover of £3.3 million and achieved a trading profit before tax of £1.7m. As at 31 July 2014, it had gross assets of £4.9 million.

RGF serves a number of market sectors including retail, manufacturing, wholesale, foodservice and export. The group is a major distributor of sugar in the UK through its Napier Brown subsidiary, and manufactures a wide range of baking ingredients, jams and sweet bakery products. Its brands include Whitworths Sugar, Renshaw and R&W Scott.

There are considerable synergies between Rainbow Dust and RGF’s successful baking ingredients business, Renshaw, and the acquisition is expected to bring mutual benefits to the two businesses, particularly in developing new products, driving growth in exports and opening up new sales channels.

Pieter Totté, executive chairman of Real Good Food Company, comments: “The increasing popularity of cake decoration has become a global phenomenon. We are excited by the growth prospects which this market offers and we will look to build on the knowledge and expertise which both Renshaw and Rainbow Dust possess to become a world leader in the sector. This acquisition is the first of a number of initiatives designed to refocus our corporate strategy and deliver increased shareholder value.”

About Author



Related Articles

Food & Drink Business Conference & Exhibition 2016

Upcoming Events

  • March 28, 2018FOOD INDUSTRY
  • April 4, 2018The leading event for the snack and food-on-the-go market
  • April 5, 2018Slow food The forum for good taste
  • April 10, 2018EXPO XXI Warsaw International Expocentre
AEC v1.0.4

find food jobs

The Magazine

F&D Business Preferred Suppliers

New Subscriber

Subscribe Here