Smiths News has sold off its Jack’s Beans coffee machine business to coffee vending rivals Fresh on the Go.
The news wholesaler’s parent company, Connect Group announced plans to sell off its coffee operations in its preliminary results in November last year, claiming it had received bids of up to £1.1million. It said the move would allow it to focus on its news supply operations.
Fresh on the Go director Sarah Lowry, formerly employed by United Wholesale Scotland, explained the business’ current operations as providing retailers with coffee stations that can be branded by the shop owner and operate on a revenue share basis. Approximately 400 convenience stores are currently supplied by the company.
Smiths News’ head of brand network Bronwen House commented on the deal: “We feel this is good news for customers given the specialist skills and exciting plans that Fresh on the Go have in place. Jack’s Beans is a strong brand and a great product which will undoubtedly benefit from the focused attention that Fresh on the Go will provide.”
House reassured partnered store owners that they will not need to take any immediate action, with contracts switched over to the new provider with no change in terms and conditions. Smiths News also said the deal would not affect news and magazine billings.
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