Unilever sells Graze to Candy Kittens in 36m deal led by Jamie Laing

"Unilever is selling the healthy snacks brand Graze to Candy Kittens, the vegan confectionery company co-founded by Made in Chelsea star Jamie Laing, in a deal understood to be worth £36 million. The transaction will see the FTSE 100 consumer goods giant hand over the struggling brand to Katjes International, which holds a majority stake in Candy Kittens. The sale is part of a wider restructuring at Unilever as chief executive Fernando Fernández seeks to refocus the group on higher-performing beauty and personal care divisions."

"Graze, founded in 2005 as one of the UK's earliest snack-box subscription services, gained prominence for its portion-controlled punnets of nuts, seeds and cereal bars sold in supermarkets nationwide. Unilever acquired the business from private equity firm Carlyle in 2019, in a deal reported at the time to be worth up to £150 million, amid growing enthusiasm for direct-to-consumer brands. However, the momentum faded."

"Graze has not turned a profit under Unilever's ownership and recorded losses of £8.7 million last year as revenue fell nearly 10 per cent to £35.6 million. Direct-to-consumer sales - once the brand's core growth engine - have slumped in a more cautious post-pandemic consumer environment. The sale price represents a steep discount on the 2019 valuation, underlining the challenges facing Unilever's food portfolio."

Unilever will sell Graze to Candy Kittens, backed by Katjes International, for £36 million as part of a wider restructuring to focus on beauty and personal care. Graze began in 2005 as an early UK snack-box subscription service and became known for portion-controlled punnets, bars and snacks. Unilever bought Graze from Carlyle in 2019 for up to £150 million, but the brand has not been profitable, posting an £8.7 million loss as revenue fell to £35.6 million and direct-to-consumer sales slumped. The sale price is a steep discount and the company is considering further disposals and a spin-off of its ice-cream division.

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