The agreement includes the transfer of approximately 3,000 customer relationships for a consideration of up to SEK 2.6m of a competitor operating in the mealkit space with a comparable product and service offering. The consideration is financed with existing cash on the balance sheet and does not have a material effect on the LMK Group’s liquidity situation. An initial amount of 65% will be paid upfront in cash on closing with the remaining amount to be paid if earnout targets based on sales volumes are met in the six months following the closing of the transaction.

Migration of customers to the RetNemt brand will start April 21st. The transaction is expected to have a modest contribution to net earnings from the third quarter this year with a target to retain up to 25 % of the acquired customer relationships.

– We are excited about being able to offer tasty, well-balanced mealkits to even more households in Denmark. We are confident that more consumers will discover mealkits as a way to simplify the preparation of great everyday meals and establish predictability in their food budgets and we are looking forward to engaging these new customers with our offering, says Klaus Toft Nørgaard, Chief Commercial Officer at LMK Group.

– This agreement helps addressing our strategic focus to increase our volumes in the Danish market while consolidating our market position. We see substantial market opportunity in Denmark and are firmly established under our RetNemt brand with a scalable fulfillment model, says Walker Kinman, CEO at LMK Group.