There are many, many reasons for acquiring companies. Roll-up’s to save costs, taking out a competitor, financial engineering and vertical integration to name four common strategies.
At Move Fresh we have only one reason for acquiring a business: to grow it.
More specifically to at least double the size of the business within a few years.
Frankly the idea of buying a business to try to save a little bit of money is pretty ridiculous. However one of the things we are very good at is growing direct to consumer FMCG businesses very rapidly and indeed Diet Chef was in the Fast Track 100 as
The trick? Spending very large amounts of money on marketing. Well, there is a bit more to it than that, we are investors in a leading marketing analytics business and spend a lot of time with numbers. But we find it hard to see how a business can grow rapidly without spending millions on advertising in an effective way.
So our acquisition strategy is really very straightforward: to find businesses with a great product that just needs a big marketing boost. We’re delighted if the shareholders are willing to join us on the journey.