CSM buys supplier of premium baked foods in U.K.
August 09, 2007
by Jeff Gelski
DIEMEN, THE NETHERLANDS – CSM increased its presence in the premium baked foods market by acquiring Kate’s Cakes in West Sussex, United Kingdom, for £20.5 million ($41.5 million) plus the assumption of £12 million ($24.3 million) in debt, CSM said.
Kate’s Cakes supplies premium cakes, muffins, cookies and desserts to the food service and out-of-home market segments and has annual sales of about £23 million. Kate’s Cakes operates a production facility and employs 470. The management team will stay on board.
"This acquisition together with the recent acquisition of Titterington’s in the United States will create additional value for CSM in these premium market segments," said Gerard Hoetmer, chief executive officer of Diemen-based CSM. "It allows us to become a worldwide partner for the leading companies in the fast growing high quality food service and out-of-home market segments."
CSM reached an agreement in June to buy Titterington’s, based in Woburn, Mass., for about $23 million. Titterington’s supplies thaw-and-serve products like scones, muffins, cakes and pastries to the food service and out-of-home markets and has annual sales of about $30 million.