The dynamic landscape of the beverage industry continues to stir excitement, as AG Barr, a prominent Scottish firm, has announced its strategic expansions. The company has finalized the acquisition of Devon-based juice maker Frobishers for £13 million, alongside a £38 million purchase of Fentimans. These moves come as AG Barr celebrates a successful financial year, marked by impressive growth in sales and profitability.
AG Barr, headquartered in Cumbernauld, reports that these acquisitions are poised to enhance its product portfolio, which already features iconic brands like Irn-Bru, Rubicon, energy drink Boost, and the Funkin cocktails range. The company cited the adult soft drinks market’s positive trend, stemming from a growing consumer preference for lower alcohol consumption.
The firm announced that annual revenues surged to approximately £437 million, reflecting a 4% increase from the previous year. This growth was bolstered by ongoing cost efficiencies and investments in their supply chain.
Euan Sutherland, chief executive of AG Barr, shared: “Our top and bottom-line performance for full-year 2025-26 is in line with expectations, and importantly we have laid strong foundations for future growth.”
Sutherland added, “We enter 2026-27 with good momentum in our core brands and from the introduction of exciting new products. In line with our strategy of enhancing our organic growth with mergers and acquisitions, we are delighted to announce the acquisitions of Fentimans and Frobishers.”
The company emphasized that these newly acquired brands will benefit from significant synergies and opportunities for cost savings while diversifying their offerings. The adult soft drinks market is recognized for its potential growth, driven by changing consumer habits.
In terms of existing brands, AG Barr reported “modest growth” for Irn-Bru in the last six months of the year, following stagnation in the first half. Increased marketing and distribution efforts helped bolster sales. Meanwhile, Rubicon and Boost performed well, balancing out a decline in the Funkin product range.
Key Takeaways
- AG Barr has acquired Frobishers and Fentimans to expand its beverage portfolio.
- The company reported a 4% increase in annual revenues, totaling approximately £437 million.
- AG Barr aims for double-digit growth in underlying pre-tax profits for the upcoming year.
- Marketing efforts have contributed to modest growth in Irn-Bru, alongside strong sales for Rubicon and Boost.
- The adult soft drinks market is trending towards lower alcohol consumption, benefiting from changing consumer preferences.
FAQ
What companies has AG Barr recently acquired?
AG Barr has acquired Devon-based juice business Frobishers and the beverage company Fentimans.
How much did AG Barr pay for the acquisitions?
The company paid £13 million for Frobishers and approximately £38 million for Fentimans.
What is AG Barr’s revenue growth for the past year?
AG Barr reported a 4% increase in annual revenues, amounting to about £437 million.
What brands are included in AG Barr’s portfolio?
AG Barr’s portfolio includes Irn-Bru, Rubicon, energy drink Boost, and the Funkin cocktails range.
In summary, AG Barr’s recent acquisitions signify a robust strategy to adapt to evolving consumer preferences and solidify its position in the beverage market. With a foundation for substantial growth, the company is well-prepared for the challenges and opportunities that lie ahead.
