Beverage firm A.G. Barr has announced the acquisition of the Rio soft drinks brand through the purchase of Rio Tropical Limited.
The acquisition of Rio is funded from the group's 'strong net cash' position, A.G. Barr noted.
'Full Brand Ownership'
Roger White, CEO of A.G. Barr commented, "As brand builders we are delighted to acquire the Rio brand and secure its long-term position in our wider portfolio.
"This allows us to realise the benefits of full brand ownership and support Rio's continued growth. This acquisition is a further positive indication of our strategic ambitions."
The company noted that the acquisition is not expected to have a material impact on the group's profits for the current financial year ending 28 January 2024.
In September, A.G. Barr posted a marginal rise in its first-half profit, helped by strong demand for its cocktail mixes and soft drinks, as well as due to price increases.
The beverage maker said its adjusted profit before tax came in at £27 million (€31.12 million) for the six-month period ended July 30, compared with £25.3 million (€29.2 million) a year ago.
Revenue for the period stood at £210.4 million, representing a 33.2% increase in reported revenue, driven by the contribution of the Boost Drinks business that was acquired in December of last year. Revenue was up 10.4% on a like-for-like basis.