Keytone to acquire Super Cubes

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Super Cubes, founded in 2018, has a product range of natural smoothies across multiple product SKUs.

Keytone Dairy Corporation Ltd has acquired the assets, brands and business of 40Forty Foods Pty Limited, trading under the Super Cubes brand, for A$726,000 (US$496,000) plus an earn-out, subject to performance milestones.

Super Cubes is an Australian consumer lifestyle health and wellness brand with national distribution in Woolworths, 400 independent supermarkets, and an online presence with more than 15,000 unique visits to the Super Cubes website per month.

In FY19, Super Cubes’ first full 12 months of trading, the business realized sales of approximately A$650,000 (US$444,000).

Keytone said the strategic acquisition accelerates Keytone’s growth into high value, high margin proprietary products, and will be funded by existing cash reserves and the issuance of equity with no capital raise required.

Keytone’s chairman, Peter James, said, “The acquisition of Super Cubes demonstrates swift and clear execution of the branded product growth strategy following the acquisition of Omniblend. Super Cubes is a growing brand in the health and wellness sector with impeccable health credentials and a growing distribution footprint.

“It is well positioned for rapid growth domestically and internationally, given its first-class product portfolio, existing penetration in distribution channels and senior executive talent.

“The acquisition offers a number of synergistic benefits, not least of which is the effective overnight implementation of a senior branded sales team to drive sales in both the Super Cubes product portfolio as well as other Omniblend branded products, including the Tonik range.”

Super Cubes products

Keytone CEO, Danny Rotman, said, “Super Cubes is an exceptionally attractive acquisition for Keytone. The brand is a fast growing, highly appealing range of products for the health conscious, time-poor, consumer.

“Further, Keytone will be able to leverage its existing distribution channels in core markets, including China, to grow the Super Cubes brand internationally executing on the early-mover advantage in the health and wellness sector globally.”

Super Cubes, founded in 2018, has a product range of natural, frozen cubes of fruits, vegetables, and plant-based protein for a nutrient enriched smoothie across multiple product SKUs.

There is a full pipeline of new product development, including a range of Super Cubes smoothies, Super Tubes Icy Poles and Super Cubes Wholefoods Bars. These new products are being dispatched to stores throughout October 2019. In addition, the Super Cubes team has a developed pipeline of new products expected to be commercialized over the short to medium term.