Charlie's finalises Aussie deal

Listed beverage company Charlie's Group has concluded its purchase of an Australian juice-processing operation in South Australia for about A$2 million ($2.38 million).

It bought the assets of the Australian Gallard and Mirage Groups.

Charlie's Group chief executive Stefan Lepionka said the acquisition would provide a strong foundation for sustainable growth in the knowledge that a long-term fruit supply was guaranteed.

He said it would allow Charlie's to manufacture its bottled Not from Concentrate range close to its source more cost-effectively on a specialised plastic bottling line.

Mr Lepionka said he was confident that the Australian business would improve long-term growth and lift the company's gross margin "significantly", starting from the last quarter of this financial year."

Further investment would also be made into the firm's Henderson site in Auckland, making it a dedicated glass-filling production facility for its Phoenix Organics range and the Charlie's Soda Co range.

Shares in Charlie's were up 1.5c to 19.5c at 3.30pm today.

- NZPA