Premier Foods, owner of nostalgia brands like Bisto gravy and Ambrosia custard, has bought breakfast brand Fuel10K as it aims to find products that resonate with younger generations.
Premier Foods will pay £29.6 million up front and at least £4 million at a later date for Fuel10K, which makes “protein enriched” granola, oat products and drinks.
It adds a brand firmly aimed at younger demographics to Premier Foods’ portfolio, which mostly consists of classic names in British food.
Fuel10K was founded in 2012 and made £500,000 in profits last year on sales of £18.5 million.
Premier Foods CEO Alex Whitehouse said the deal builds on his company’s 2022 acquisition of The Spice Tailor and the launch of Ambrosia porridge pots this year.: “The acquisition of FUEL10K follows on from our successful integration of The Spice Tailor, where we have increased revenue and profit through the application of our branded growth model. Fuel10K provides us with an ideal platform to accelerate our expansion into the Breakfast category, building on our recent successful launch of Ambrosia porridge pots.
“Possessing a differentiated category position, with its protein enriched product range and appealing to a younger demographic, we expect to deliver significant further profitable growth of FUEL10K through the deployment of our successful branded growth model."
Fuel10K co-founder Barney Mauleverer said: “We are very excited to be passing the reigns on to the owner of such a great stable of UK brands. Having built the foundations from start-up, the FUEL10K brand is now primed to accelerate into the future and achieve even more great things. I could not think of a better custodian of our brand than Premier Foods to entrust what we have begun and make the most of such a great opportunity.”
