Darwen-based vaping firm Liberty Flights has been acquired by Manchester-based Supreme in a deal that could be worth as much as £14.75m.
Liberty Flights was launched as a family firm in 2009 and produces e-cigarettes and e-liquids using pharmaceutical grade nicotine and bases.
The company sells to wholesalers and retailers and manufactures third-party items. It recorded £9m in sales in its most recent accounts.
Manufacturing and retail group Supreme will acquire the entire share capital of the business, which will continue to trade under its own brand in the short term before fully integrating into the company.
The deal includes a £7.75m upfront payment, a £2m deferred payment, and a further payout based on performance over the next year. This third payment could be as high as £5m, but is predicted to be around £2m.
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