The FRS Company announced completion of two strategic initiatives: the acquisition of Nutravail and the rollout of an enhanced distribution network. Together, these initiatives provide additional revenue growth opportunities while enabling innovative product development and improved distribution.
Acquisition of Nutravail
FRS has completed the acquisition of Nutravail, a leader in the development of innovative delivery systems for the nutrition industry. Through its patented delivery systems, Nutravail has the unique ability to deliver healthy functional ingredients in better tasting and more convenient formats.
In addition, Nutravail produces private label products for some of the nation’s leading retail chains, opening new revenue streams for the combined company. They also produce FRS soft chews and quercetin flake, a key component in the patented Healthy Energy® formula.
Enhanced distribution network
FRS has completed the implementation of its enhanced distribution network. Previously, FRS products were distributed in certain channels exclusively through Pepsi Warehouse Services. FRS and PWS agreed not to renew their distribution agreement after its scheduled expiration in December 2012. FRS will pursue an independent distribution network, using a combination of direct sales and distributors. This will give the company greater control over its products at the point of sale, ensuring better availability and merchandising.
“We have worked with Nutravail for many years and admire their innovation and quality. This acquisition complements our current Healthy Performance™ product suite, and enables us to offer our customers additional high quality nutritional products through expanded distribution channels. In addition, Nutravail brings highly skilled management and manufacturing capabilities. We’re very pleased to have them join the FRS family,” said Jim Quandt, chairman of the board for The FRS Company.
As part of these initiatives, FRS will be making changes to its management team. CEO Carl Sweat, who has been instrumental to the company’s national expansion, will be leaving FRS. Dave Henderson, CFO of the company for nearly five years, will assume responsibility as acting CEO of FRS. Rick O’Neil will continue to lead Nutravail as CEO and president, and will also join the leadership team of The FRS Company.