- August 20, 2024
New investment to drive further growth for The Tofoo Co
Comitis Capital (“Comitis”) has acquired The Tofoo Co. Ltd (“The Tofoo Co.”), the UK’s No. 2 meat-free brand with over 60% market share in tofu. The brand, just 7 years old, has been on a mission to make tofu mainstream, taking the meat-free market by storm with its range of high-quality and sustainable plant-based products. Existing management David Knibbs and Lydia Smith will remain invested in the business and continue to steer the company’s growth in the UK and international markets.
With consumer backlash to ultra-processed foods (UPFs), Tofoo is bucking the category decline (-7.9% YOY) and growing +19.1% YOY. Not only is it one of only 3 brands that is showing growth and is doing so on every timescale (MAT, 12 wk and 4 wk), but it has also overtaken Cauldron to become the 2nd biggest brand in meat free and confirmed its status as the clear choice in tofu with 62% share of the tofu category. Further still, Naked 280g has become the best-selling SKU in the category. Tofu, a product once seen as being just for vegans and shunned by so many for being bland, boring and tasteless, has finally been accepted into consumer’s fridges as a staple natural alternative protein.
The Tofoo Co., headquartered in Yorkshire, was acquired in 2016 by David Knibbs and Lydia Smith. Since then, they have grown the business from a small local hero to the market leader for tofu in the UK, commanding market shares >60% and obtaining numerous awards for their innovative products. Beyond its core tofu portfolio, The Tofoo Co. offers a vast selection of value-added tofu products as well as other plant-based meat alternatives such as tempeh and seitan. With a strong holding in major retail, the company is expanding its food service channel with restaurant chains such as Wagamama.
“The Tofoo Co. has firmly established itself as a leader in the plant-based meat alternatives market with a strong brand image offering high-quality products. David Knibbs and Lydia Smith have built a remarkable enterprise that is ready for the next phase of growth. The Tofoo Co. represents a great addition to our portfolio, covering the thriving plant-based food market,” states Nikolaus Bethlen, Managing Partner at Comitis.
“We are thrilled to collaborate with visionary entrepreneurs who are eager to foster growth, and the team at The Tofoo Co. perfectly embody this spirit. Together, we share a unified vision of propelling The Tofoo Co. into a leading position in the international plant-based meat alternatives market. With our investment, expertise, and extensive network, we are committed to fueling the company’s dynamic expansion plan,” adds Felix Jauch, Investment Associate at Comitis.
“We chose Comitis as our partner to enter a new era of rapid expansion. Their deep understanding of our business model and entrepreneurial thinking has left us convinced that they are the right choice to bring The Tofoo Co. to the next level. Their value-based investment approach aligns perfectly with our vision, and we see significant opportunities for The Tofoo Co. ahead,” says David Knibbs, Managing Director of The Tofoo Co.
“The Tofoo Co has plans to grow further, both with existing & new customers and channels, and needed a strong and proactive partner to help that growth journey. Comitis are a great fit as that partner for this next chapter of Tofoo Co.’s growth journey” says Lydia Smith Executive Director of The Tofoo Co..
The Tofoo Co were advised on the deal by Piper Sandler (Sellside Financial Advisor), Food Strategy Associates (Commercial), Pinsent Masons (Legal) & KPMG (Financial).
Source: Nielsen Scantrack 52 we 13th July 2024