UK cake maker Finsbury Food Group has boosted its speciality bread stable with the acquisition of Goswell Enterprises for GBP2.2m (US$3.6m).

Finsbury said today (18 June) that the deal, struck through its subsidiary Nicholas & Harris, would see the group make an initial payment of GBP500,000 – with the balance paid over the next four years.

Goswell supplies speciality breads including Vogel and Cranks to UK multiples. Its biggest customers are Sainsbury’s and Waitrose. Sales for the year to October 2008 stood at GBP5.4m; pro-forma EBIT reached GBP400,000.

Finsbury chief executive Martin Lightbody said: “Although the current economic climate remains challenging, we are committed to making appropriate investment in our business and are delighted to be able to take advantage of opportunities such as this one.”