Annual report and accounts 2023 - Flipbook - Page 175
Strategic Report
15.
Corporate Governance
Accounts
Investment in subsidiaries
Company
2023
£m
2022
£m
Opening investment in subsidiaries
Investments made in the year
90.3
23.3
84.1
6.2
Closing investment in subsidiaries
113.6
90.3
On 5 December 2022, the Group acquired 100% of the shares and voting interests in Boost Drinks Holdings Limited ("Boost") granting it control. Included in the identifiable
assets and liabilities of Boost are inputs (inventories, receivables and payables) and an experienced workforce with technical expertise. The Group has concluded that,
together, the acquired inputs and processes are a business that will create value by generating revenue in the soft drinks category, supported by the Group's brand
building capability.
For the two months ended 29 January 2023, Boost contributed revenue of £7.3m and had an immaterial impact on profit. Had Boost been a subsidiary for the full financial
year, it would have contributed c.£50m revenue to the Group and c.£1.0m profit.
The value of the identifiable assets and liabilities of Boost at the date of acquisition were:
£m
Property, plant and equipment
Right-of-use assets
Intangible assets
Inventory
Trade receivables
Cash and cash equivalents
Trade payables
Accruals
Lease creditors
Other taxes and social security
Current tax
Deferred tax
0.2
0.3
16.9
6.0
8.5
1.3
(7.1)
(2.8)
(0.3)
(0.7)
(0.2)
(4.1)
Total identifiable net assets acquired
18.0
Goodwill
1.9
Value on acquisition
Total consideration
19.9
19.9
Represented by:
Cash
19.9
The acquisition includes a potential additional consideration of up to £12.0m payable depending on the successful delivery of future performance during an earn-out period
commencing 1 December 2022 and ending 20 November 2024 as outlined in Note 24.
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