S-Ventures, the enterprise company investing in and growing brands across the natural, wellness and food-tech categories, has acquired Hero UK Ltd trading as Juvela.
Hero UK has been acquired from the Hero Group, a Swiss consumer foods group. The company manufactures and distributes branded gluten free products under the Juvela brand which include a free-from range of breads, mixes and pastas sold in the UK retail and pharmacy markets.
S-Ventures plc has agreed to acquire Juvela for a consideration of £8m cash and 5 million new ordinary shares in S-Ventures. The cash is split £6.5m on completion and £1.5m deferred plus 8% interest, paid in September 2023.
The 5 million shares issued as part of the consideration, represent 3.8% of the enlarged share capital and will make Hero Group a new shareholder and partner in S-Ventures PLC.
At acquisition, S-Ventures PLC will enter into new loan facilities provided by Shawbrook Bank Limited for financing the acquisition and its working capital needs including a 4 year term loan of £5.5m and a £500,000 revolving credit facility.
In the year ended 31 December 2021, Juvela achieved a gross revenue of £8.8 million and has continued to operate profitably this year with expected gross sales of £8.6 million. Hero UK Ltd will change its name on completion of the transaction to Juvela Limited.
Scott Livingston, founder and CEO of S-Ventures, says: “We are delighted to partner with Hero Group and to add the Juvela business to our platform. We welcome Hero Group as new partners and shareholders and are excited about the opportunity this acquisition brings to drive substantial growth and value for all our shareholders. It has been a pleasure working with Hero on this transaction.”
Rob Versloot, CEO of the Hero Group, says: “We are very pleased to have found an ideal home where Juvela can grow to its full potential alongside other similar companies. The divestment is part of our company’s long-term strategy and supports the Hero Group’s focus on its core categories of Baby and Toddler Food and Snacks, Healthy Snacks, and Natural Spreads.”
