Applied Nutrition has announced the acquisition of a US-based manufacturing facility for $16m in cash as it works towards expanding its presence in North America.

The new acquisition includes a fully fitted-out manufacturing facility in Buffalo, New York; two in-house Nutrablend brands; and a management team with around 100 employees.

The newly bought 107,000 sq ft site combines manufacturing, warehousing, R&D and design capabilities under one roof, which offers the business more speed, flexibility and scale as demand continues to increase.

The business expects a range of benefits, including a production capacity of up to $300m per year in the US and lower freight, logistics and import duty costs with local manufacturing capabilities.

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CEO of Applied Nutrition, Thomas Ryder, said: “This acquisition is an important step for Applied Nutrition in North America. By establishing our own manufacturing and innovation platform in the region, we will be better placed to grow the business, bring new products to market quickly and improve service for customers.

“The US remains a major long-term growth market for the Group, and this investment gives us the infrastructure and flexibility to support that opportunity.”

The Group plans to shift the existing US production volume which is manufactured in the UK to the Buffalo facility, which will continue to produce Basic Supplements and GR8 Lifestyle products.

Additionally, Applied Nutrition is working towards further expanding Nutrablend’s white label manufacturing offer across the US, Canada and Latin America as it leverages brands wanting to tap into the ongoing growth of the sports, nutrition and wellness categories.