Nestlé snaps up nutrition specialist Vitaflo

FOOD giant Nestlé has acquired Vitaflo, a Liverpool-based developer of nutritional products, for an undisclosed sum.

Nestlé said the deal, which represents an exit for the Merseyside Special Investment Fund (MSIF), would reinforce its position in the growing market for specialist nutrition.

Vitaflo, founded by scientists Tony Partington, Bill MacNab and Maura O’Donnell, specialises in products for people with inherited disorders that affect the way the body processes food.

The business, established in Scotland, opened a factory and distribution centre at the Brunswick Business Park, Toxteth, in 1998. Nestlé said the firm has enjoyed 30% growth over the last three years and has a £24.4m turnover.

MSIF has invested in the business several times since it put in £400,000 in 1998. Two years ago a £16m refinancing enabled it to realise £6.6m. It re-invested £3m alongside funding from the Clydesdale Bank.

Nestlé’s chief executive Paul Bulcke said: “This acquisition is an excellent strategic fit, reinforcing our position in a rapidly growing segment of specialised nutrition. Vitaflo’s science-based products complement and support our business in the area of high-technology personalised nutrition.”