Brenntag, the global market leader in chemical distribution, is expanding its business in the UK food ingredients distribution market by acquiring Kluman and Balter Limited and A1 Cake Mixes Limited. The companies specialize in the distribution of a comprehensive range of bakery ingredients as well as a large variety of bakery and confectionary mixes.

Karsten Beckmann, Member of the Management Board and CEO Brenntag Europe, Middle East and Africa (EMEA): “With this acquisition, Brenntag UK & Ireland will significantly strengthen its footprint in the country’s very attractive food & nutrition sector that is one of our focus industries in EMEA. The companies provide value-added services that perfectly complement Brenntag’s proposition to customers including new product development and technical competence and support based on deep insight in market requirements and trends.”

The companies provide important services in the bakery supply chain, connecting a diverse range of over 2,000 ingredients across commodities, higher-value items, own brand products and niche or bespoke ingredients (e.g. mixes). A designated New Product Development team offers technical product support and provides full product demonstrations, introducing new ideas and helping customers maximise growth potential.

Anthony Gerace, Brenntag Group’s Managing Director Mergers & Acquisitions: “The UK bakery ingredients and cake mixes market is expected to continue to grow, benefiting from positive consumer trends such as increasing demand for gluten, lactose or other free-from goods. In addition, the companies focus on higher value products and channels like artisanal bakers, in-store bakeries and foodservice thus creating further growth potential.”

The business is expected to generate total sales of approximately 77.5 million GBP in the financial year 2017.