Gummy supplements manufacturer TopGum Industries has acquired Island Abbey Nutritionals, a contract development and manufacturing organisation (CDMO).
Canada-based Island Abbey Nutritionals specialises in supplement gummies and lozenges delivery formats for dietary supplements.
This acquisition boosts TopGum’s manufacturing and technological capabilities, reinforcing its position in the gummy supplements market.
Under the agreement, Israel-based TopGum Industries has agreed to pay $20m plus an earn-out based on 2025 results.
This acquisition will also support the gummy supplement manufacturer’s strategy to advance the dietary supplement industry.
The deal strengthens TopGum’s strategy to expand its presence in the US market. By integrating Island Abbey’s advanced capabilities, the company aims to create a seamless supply chain with production, bottling, and warehousing across two continents.
This expanded expertise and capacity will help the gummy supplements manufacturer meet the growing global demand for various types of gummy supplements, offering more taste and reliability to its partners.
TopGum CEO Eyal Shohat said: “Island Abbey brings a unique combination of strategic customers, advanced technologies, and a professional, experienced team.
“Together with TopGum’s longstanding expertise, this partnership opens new horizons for innovation and growth.
“Our combined teams will continue to develop advanced solutions that deliver a wellness experience that is fun, easy, and tasty.”
Founded in 2004, Island Abbey Nutritionals operates an advanced 65,000ft² facility, with millions invested in recent years.
The facility features advanced manufacturing technologies like starchless depositing, centre-fill capabilities, and automated bottling and packaging lines. It is said to meet strict quality standards, including certifications in the US and Canada.
As part of the transaction, Island Abbey will retain its operational independence while benefiting from TopGum’s global reach and resources.
The company’s 95 employees will remain, with CEO Dean Williams continuing in his leadership role. Williams will also join TopGum’s executive leadership team.
Island Abbey Nutritionals CEO Dean Williams said: “This acquisition reflects our success in advancing supplement solutions across Canada and the US.
“The combination of these two entities is poised to redefine the gummy supplement market.”
The deal is expected to close in Q1 2025, pending regulatory and third-party business approvals.
In October last year, the gummy supplement manufacturer launched HoneyGum, a new range of all-natural, honey-based functional gummies.
