Vancouver's Premium Brands Income Fund (TSX:PBI.UN) has expanded its operations on Vancouver Island by acquiring B&C Food Distributors for $7 million.
B&C, which distributes food to 900 independent restaurants, hotels and institutions on Vancouver Island, has annual sales of approximately $40 million. Its product line includes a wide range of gourmet beef, poultry, pork and seafood. It also provides warehousing and distribution services to Vancouver Island's grocery retailers.
B&C will continue to operate under its brand but will become a subsidiary of Centennial Foodservice, a Premium Brands portfolio company that also operates on the island.
The company reported that B&C had annual EBITDA of approximately $1.2 million and plans to double it within the next 12 months by expanding the product lines within B&C and Centennial.
Premium Brands paid $5.1 million in cash and the remainder of the sale price with 161,988 units.
The income trust's unit price range during the past week: between $11.87 and $12.29; 52-week high: $15.53; 52-week low: $11.17.