The soft beverages group will use its extensive distribution network to grow the reach of Jimmy's Iced Coffee in the UK market
Jimmy’s Iced Coffee achieved 43% sales growth in the 12 months to June 2023 to reach £17m ($22m) | Photo credit: Britvic
Britvic has gained a foothold in the UK ready-to-drink (RTD) coffee market with the acquisition of Jimmy’s Iced Coffee.
Founded in 2010, Jimmy’s Iced Coffee has more than 10,000 distribution points across the UK and achieved 43% sales growth in the 12 months to June 2023 to reach £17m ($22m).
Hertfordshire-based Britvic has a portfolio including the Robinsons, J2O, R. White’s and Mountain Dew soft drink brands. The group said it will utilise its existing UK customer relationships to increase Jimmy’s Iced Coffee’s distribution and enhance cost efficiency for the brand through its supply chain expertise and procurement capabilities.
“We are thrilled to welcome Jimmy’s Iced Coffee to our portfolio of much-loved Britvic brands. The focus on innovation, great taste with fewer calories, and fully recyclable packaging makes Jimmy’s a perfect fit for Britvic. We have a long track-record of acquiring and developing brands, and I am confident in our ability to quickly expand our position in the iced coffee category – which is an exciting and fast-growing market segment,” said Simon Litherland, CEO, Britvic.
Jimmy’s Iced Coffee founders Jim Cregan and Suzie Owen will remain ambassadors for the brand, supporting the transition and advising on future innovation.
“We have poured our heart and souls into making this business what it is today and we feel so fortunate that Britvic is now able to take Jimmy’s to places about which we could only dream. We are excited to watch the next chapter of the journey unfold and look forward to Jimmy’s Iced coffee becoming even more well known and enjoyed,” Cregan said.
World Coffee Portal research one in five UK consumers surveyed purchased an RTD coffee product over the last 12 months, with 19% now consuming more cold coffee than hot overall – 4% higher year-on-year.
Britvic did not disclose the sum of the transaction but said the deal will be financed from existing internal resources and external debt facilities.
The soft drinks group achieved 10% sales growth in the three months ended 30 June 2023 to reach £476.7m ($618m). In its third quarter update, the soft drinks company also announced the acquisition of Brazilian energy drink brand Extra Power from GlobalBev.