Upmarket cooker-maker Aga Rangemaster has taken over two smaller industry rivals in a £750,000 deal.
The Leamington-based group, which revealed profits of almost £20 million earlier this month, has bought Redfyre Cookers and Don Heating Products from Devon firm Gazco.
Aga, which specialises in range cookers and kitchen living, said the two firms currently have a combined turnover of around £1 million.
The deal, which is subject to a final stock adjustment, has been funded from the group’s existing cash resources.
Redfyre, whose history dates back to the 1930s, is a well-established cast iron cooker brand selling oil, gas and electric range cookers.
Redfyre has much in common with the group’s Irish based Stanley operation and the two brands will now work closely together.
Don has, for many years, supplied spare part components for cast iron range cookers in the field including Aga, Rayburn, Stanley and Redfyre and fits neatly with the group’s product upgrade programme.
Aga chief executive William McGrath said: “This acquisition is about continuing and reinforcing our strong support for cast iron products in the field and offering customers a wider range of new modern models to consider.”
Aga revealed a £19.9 million profit for the year to December 31 earlier this month. That compares with a pre-tax profit of £500,000 last year.
The better-than-expected rise – which follows a run of positive results from production firms in the region – came after revenue increased from £245 million to £259.1 million.