(Sharecast News) - Consumer products manufacturer Supreme has acquired vaping manufacturer Cuts Ice and e-liquids flavour development business Flavour Core for an undisclosed sum.
Supreme said on Tuesday that the acquisition, while delivering "a number of integration synergies", will see the group acquire a renowned vaping brand alongside absorbing vape flavouring and mixing expertise.
In addition, Supreme highlighted that Cuts Ice has established a growing European sales footprint, with the majority of sales being to continental Europe, including France, Germany, Italy, Spain, and Belgium, which will add geographic diversity to the firm's "more UK-centric" vaping division.
The AIM-listed group stated the undisclosed cash consideration will be satisfied from existing resources, and noted that the acquisition was expected to be immediately earnings enhancing at an adjusted underlying earnings level.
Chief executive Sandy Chadha said: "We are delighted to be acquiring assets from Cuts Ice and Flavour Core, a highly innovative and hugely popular brand both in the UK and across Europe.
"We continue to see significant growth from within our vaping activities and see this transaction as an excellent example of how we can continue to add both scale and expertise into the group."
As of 1010 BST, Supreme shares were up 3.29% at 104.84p.
Reporting by Iain Gilbert at Sharecast.com
Supreme Plc (SUP)