Swedish confectionery firm Cloetta has acquired British candy producer Goody Good Stuff for an undisclosed amount, as part of its efforts to broaden its product range within the growing segment of natural candy.
Established in 2010, Goody Good Stuff is a producer of vegetarian, dairy-free and nut-free confectionery. Currently, the company has more than 5,500 outlets retail outlets. It exports products to 21 foreign markets including the UK, France, Germany, Sweden, USA, Canada, Dubai, Hong Kong, Singapore.
The acquisition is the first for Cloetta following its merger with Netherlands-based group Leaf International in 2011.
Cloetta CEO Bengt Baron said that the acquisition is a part of the company's growth strategy and Goody Good Stuff allows it to strengthen its product portfolio.
"The products from Goody Good Stuff can be consumed by everyone as it is a natural candy free from allergens."
"This is a segment where we see increased consumer demand and where Cloetta can play an important role", Baron added.
Cloetta stated that it acquired Goody Good Stuff from a group of investors and the acquisition will have a limited effect on Cloetta's operating profit.
Recently, Goody Good Stuff signed a nation-wide distribution agreement with one of the leading convenience stores in the US. The company reported sales of approximately SEK10m ($1.5m) in 2012.
The natural gummy candy range from Goody Good Stuff is produced using a technology which eliminates the need for animal-based gelatin and contains no artificial colors or flavors, uses only natural fruit and vegetable extracts and is also free from allergens.
