Nottingham-based Huddled Group Ltd, which focuses on building a portfolio of e-commerce brands, has acquired Sheffield-based retailer Food Circle Supermarkets for a total of up to £300,000.
Founded in 2018 by owners and operators Paul Simpson and James Barthorpe, Food Circle is an online direct-to-consumer retailer specializing in discount foods for healthy and specialty diets, including high protein and energy products . We receive around 3,000 orders each month, with an average order value of around £40.
The business has experienced strong growth since its inception, posting an unaudited profit of £1.4m and a net loss of just £46,000 for the year ended 31 December 2023.
The Huddled Group Board of Directors believes that becoming part of the Group will enable Food Circle to grow significantly as it will have access to additional funding and other synergies to expand its reach.
Mr. Simpson and Mr. Barthorpe will continue in their current roles and will support the expansion of the business.
Martin Higginson, CEO of Huddled Group, said: “We are pleased to announce this exciting opportunity that further strengthens our position in the online surplus food and beverage market alongside our existing brand Discount Dragon.
“Food Circle is at the intersection of numerous market trends: consumers' continued pursuit of value, demand for e-commerce and drop-shipping services, and the growth of health and nutrition products that support active lifestyles.
“The company has significant relationships with brands where the responsible disposal of excess inventory remains a priority, and this will continue to be Food Circle's core mission.
“Paul and James have done a fantastic job of growing the business to a turnover of £1.4 million with very limited capital and scope. “With access to additional funding, both companies will be able to develop this business into a new I am confident that we can quickly grow to great heights.”
Mr Simpson and Mr Barthorpe added: “We have worked hard to build our business from the ground up since our founding in 2018, and now is the ideal time to join a growing group with exciting ambitions for the future. I feel that there is.”
“We believe Huddled Group is the perfect partner to unlock Food Circle’s huge potential.
“The business is located in a rapidly growing market and this acquisition strengthens our commitment to reduce waste and provide consumers with access to high quality products while preserving the value of our brand. We are confident that we can further develop our products at competitive prices. ”
