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Highlights
- Previous year, Roma Foods received a buyout offer.
- Roma Foods hired investment bank, Moelis to undertake strategic review of the company.
- Roma Foods’s revenue surged due to Covid-19 driven pandemic.
Australia’s allergen and gluten-free manufacturer, Roma Foods, is looking for a potential buyer after being in the industry for 69 years. The family owners shared their wish of selling the business to Aussies.
Roma Foods has a global presence as it exports its product across 70 countries through its key customers and distributor partners. The company is on the path to generating annual sales of over AU$35 million within a year.
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What is Roma Foods up to?
Roma Foods hired Moelis, an investment bank, to conduct the strategic review of the business as the company received a buyout offer from a prominent Australian player last year. The proposal came even when the company did not float the intent to sell the business. The company informed that it had received many buyouts offers. Roam did not disclose the name of the offeror.
Chief executive of Roma foods, Sam Schachna said in a statement that the company had hiked the prices in the last 12-months by a single digital percentage. The company is keeping a close watch on the input costs. Since the company sources raw materials locally, the products are not affected by the spike in the global shipping charges.
Roma Food riding the Covid-19 food boom
During the Covid-19 driven pandemic, Roma Foods reported extra sales as the demand for at-home consumption increased significantly. When the supermarkets could not fulfil the demand, then local manufacturers came to the rescue. Covid-19 came as an opportunity and highlighted the importance of the local supply chain.
Schachna, said that the company’s growth was driven by the increase in demand for Australian-made and healthier products. The increase in demand resulted in a 30% increase in employees and a 20% increase in the company’s growth.
Government initiative such as the Modern Manufacturing Initiative has also added to the company’s growth. The food and manufacturing industry is booming with this government support, said Schachna.
About Roma Foods
Image source: © Baibaz | Megapixl.com
Roma Foods began its operations in 1953 as a small pasta manufacturer, and in 1984 it was acquired by the Buontempo family. From a small pasta manufacturer to a large allergen-free manufacturer, Roma’s products can be found in over 70 markets.
The family-owned business manufacturers products across biscuits, baking, breakfast, pasta, snacking, desserts, to name a few. The products are available in large supermarket chains like Coles and Woolworths.
Worth mentioning here is, Roam Foods received the product of the year award in the Vegan snacking category for its plant-based Spliits crispbread. The crispbread was launched an year ago. The product launch was a response to the expansion in the ‘better for you’ snacking subcategory.
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