Lactalis Acquires Protein Works to Expand Functional Nutrition Reach

Protein Works, known for its wide range of protein-based nutrition products, has been acquired by the global dairy company Lactalis. The acquisition is intended to accelerate the growth of Protein Works in both the UK and international markets. Founded in 2012, Protein Works offers products such as protein shakes, meal shakes, wellness supplements, and protein snacks.

Lactalis, with its extensive experience in brand management, supply chain, and FMCG grocery distribution, is combining forces with Protein Works’ expertise in functional nutrition and direct-to-consumer capabilities. This strategic move is expected to create significant synergies between the two companies.

Protein Works has been supported by YFM Equity Partners since 2019, during which time the brand's revenue has grown to approximately £55 million annually. Founder Mark Coxhead expressed pride in the brand's development and readiness for further growth. Laura Keir, CEO of Protein Works, highlighted the exciting prospects the acquisition brings for the brand and its customers.

The company operates a fully integrated model, manufacturing products at its facility in Speke, Liverpool, and distributing them directly to consumers. Protein Works has built a loyal customer base, with approximately 3 million customers across several European markets including Germany, France, Ireland, and Italy.

Post-acquisition, all employees of Protein Works will join the Lactalis Group as of June 1. Lactalis plans to maintain the unique identity of the Protein Works brand, a value shared by the Protein Works team. Nicola McQuaid of YFM praised the investment in Protein Works, noting a 10.8x cash multiple during their partnership.

Houlihan Lokey served as the exclusive corporate finance advisor for the shareholders, managing the transaction's preparation, structuring, and negotiation, with legal counsel provided by DWF.