CARDIFF, WALES — Looking to strengthen its position in the gluten-free market, Finsbury Food Group has acquired Ultrapharm Ltd. Ultrapharm will receive $22 million (£17 million) for the acquisition and have the potential to earn up to $10 million (£8 million) if it retains key management staff and meets financial benchmarks through 2021.

Ultrapharm is a gluten-free bakery that produces a wide range of baked foods, including bread, buns, rolls and muffins. It has operations in the U.K. and Poland and distributes its products across Europe in countries such as France, Italy and Germany.

“Ultrapharm has a robust market position both in the U.K. and Europe, extensive technical ability and strong relationships across a high quality and diverse customer base,” said John Duffy, chief executive officer of Finsbury. “This provides Finsbury with the opportunity to build upon both businesses’ existing retail relationships, as well as unlocking further commercial opportunities.”  

Mr. Duffy noted that the acquisition aligns with the company’s strategic plans to broaden its product lines in high growth areas.

“It further diversifies us by geography and category, giving us a further foothold in Europe and allowing us to diversify into the free-from market,” he said.