Veritas Investments Limited has bought the Nosh Food Market for $1.7 million.
The deal sees Veritas, the owner of the Mad Butcher franchise business, purchase the business and assets of Nosh Food Market from Nosh Management.
Conditions have all been met to the satisfaction of Veritas, including Nosh shareholder approval. Ongoing employment has been offered to all Nosh staff.
Veritas will meet all of Nosh’s trade creditors, but is not assuming any Nosh bank or debenture debt.
ANZ will fund a facility of up to $5 million for the acquisition and expected working capital requirements.
“We are delighted to have Nosh under the Veritas umbrella and excited about the huge potential of the business,” Mark Darrow, Veritas chairman, said.
The search is underway for an executive to run Nosh. Michael Morton, Mad Butcher CEO, will be hands on in the business in the interim, handling the transition period and the important first steps of improving the business model to give Nosh renewed energy, Darrow said.
Morton said that there has been an amazing response and support from Nosh staff, suppliers and business partners.
“We appreciate there is a lot of work ahead to reinvigorate the business but I am very confident we can achieve this relatively quickly,” he added.
“We are already working on a number of changes and innovations that will ensure Nosh has the best stores in the growing food market sector.”
Nosh stores are located in Glen Innes, Greenlane, Mt Eden, Ponsonby, Constellation Drive, Matakana and Mt Maunganui.
Veritas continues to seek further acquisitions in the food, beverage and franchise sectors.
