Fosters of Birmingham has been sold to Angling Direct for £3 million.
The acquisition brings Angling Direct’s store count to 17, with a further store planned to be opened in Slough later this month.
In the year to 31st March 2017, Fosters generated revenues of circa £5.9 million and an operating profit before tax of around £460,000, with net assets of about £1.1 million. Within net assets is the freehold property of the Fosters store, which has been recently valued at £500,000.
The latest purchase increases Angling Direct's presence in the Midlands, together with its Halesowen and Willenhall stores.
Following completion of the acquisition, Mark Foster, will remain with the company for a few weeks to ensure a smooth handover, and Richard Foster (pictured), will continue to work in the business on a part-time basis.
Darren Bailey, CEO of Angling Direct, commented: "Fosters is a long-established and very successful business with a loyal customer base and knowledgeable team. The acquisition will be earnings enhancing from day one and validates Angling Direct's longterm strategy - to consolidate the
fishing tackle market whilst expanding our business through acquisition. "We look forward to working closely and supporting the Fosters team with the integration over the coming months."
Angling Direct currently sells over 21,500 fishing tackle products. The Company also owns and sells fishing tackle products under its own brand 'Advanta', which was formally launched in March 2016.