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DateCompanyHeadline

Apr 2008Dorset CerealsLangholm Sells Dorset Cereals

Source:          Real Deals

Langholm Sells Dorset Cereals

Langholm Capital has sold Dorset Cereals to Wellness Foods in a deal valued at around £50m (€64m).

Langholm led the management buy-in of the muesli manufacturer in April 2005.  The firm has quadrupled its money on the deal.

"This was already a perfectly healthy and tasty breakfast cereal before we bought it, but the problem was that no one knew about it," said Langholm co-founder Bert Wiegman.  "We have done all this without spending any money on advertising."

Langholm rebranded the product and built a new packaging plant.  Sales are understood to have increased from around £4m three years ago to £30m in 2007.  The head count has doubled to more than 100.

Wellness Foods is backed by Irish racing tycoons JP McManus and John Magnier.

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