Latest news:

You are currently not logged in

Log in

Pental raises capital to buy e-commerce venture

Household chemicals and cleaning products maker Pental is to acquire Melbourne-based online gifting specialist, Hampers with Bite (HWB) for $28.3 million, after a capital raising round. 

Expected to be settled next month, the acquisition will be paid for through a mix of cash and equity to be issued to the vendors. To fund the deal, Pental is raising $6 million in capital and an additional $2 million through a share purchase plan to existing shareholders. 

“Our acquisition of HWB will transform Pental by boosting our financial scale and delivering new capabilities which are highly complementary to our existing business,” said Charlie McLeish, MD at Pental. 

Hampers with Bite runs both a B2B and B2C model, offering gifts and food & wine hampers to its customers through a combination of own-brand and high-margin third-party brands and products. 

“The HWB business will boost our group revenue by approximately 20 per cent and immediately strengthen the company’s profitability.”

Pental estimates its post-acquisition combined gross profit margin to increase to 32 per cent as a result of the deal. 

“Joining the Pental group is in line with our strategy to grow our addressable market, deepen our customer relationships and expand our product offerings with a strong platform for growth,” said Rory Boyle, co-founding director of Hampers with Bite. 

No Comments | Be the first to comment

Comment Manually

No comments