Pharmaceutical packaging specialist Chester Medical has acquired East Yorkshire vitamin and health food manufacturer Power Health Products in what bosses call a “major milestone deal”. The transaction brings together packaging and manufacturing services under one umbrella, with both companies continuing to trade under their existing names and maintaining their current operations.
Deal Details and Company Backgrounds
Chester Medical, based in Wirral, was founded in 1965 and also operates a carton and label manufacturing site in Deeside, North Wales. The company works with pharmaceutical, medical, and veterinary businesses across the UK. Power Health Products, headquartered in Pocklington, was established in 1972 and today serves as a contract manufacturer of health food supplements, sports nutrition products, and hair and skin care products, employing approximately 80 people.
The acquisition was hailed by leaders on both sides. David Patterson, managing director of Chester Medical, said: “This acquisition is a major milestone for Chester Medical. It enhances our offering, creates new opportunities for collaboration and growth, and strengthens our ability to support customers at every stage of their journey. There is an excellent cultural and operational fit between the two companies, and we are excited to see what we can achieve together.”
Leadership Perspectives and Strategic Fit
Vicky McIver, managing director of Power Health Products, commented: “The health food supplements market has evolved significantly over the last five decades, and we are proud to have grown and evolved with it. Joining forces with Chester Medical marks an exciting new stage of growth for us and secures a strong future for the business. We are grateful to the RSM and LCF Law teams for their expertise and advice throughout the process.”
The deal was supported by a range of advisory teams. Brabners Deal Advisory, led by Paula McGrath with Dan Rice and Nicole Turton, provided acquisition advice to Chester Medical. Legal advice for Chester Medical came from Craig Geraghty, Kieran Donovan, Kevin Howard, Megan Parker, Paige Draper, and Paul Hardy at Napthens. DSG, led by Adam Brighouse with Andrew Moss, Anna Pope, and Callum Lea, provided financial due diligence, with Rob Hackney and Alex Kier supporting tax advisory work.
Advisory Teams and Future Outlook
Power Health Products was advised by RSM UK, led by James Atkinson with Rich Winter and Charlotte Turner, with tax advice led by Chris Etherington and Camilla Taylor. LCF Law, led by Rebecca Ridley and Brad Stewart alongside Sam Durling, Duncan Robertson, Harriet Thornton, and Danielle Lynn, provided legal advice to Power Health's shareholders.
Paula McGrath, principal and head of Brabners Deal Advisory, said: “Our long-standing relationship with Chester Medical and close contact with RSM aided this process immensely. It has been a pleasure to help the business take this important step in its growth and we look forward to watching it continue to develop under this new structure.”
James Atkinson, deal services partner at RSM UK, added: “Power Health Products’ strategic union with Chester Medical represents a strong deal for both parties. Their combined expertise and ambitions offer a healthy foundation for the combined entity’s continued growth across the health supplements market. We wish the whole team the best of luck as they move forward.”
Kieran Donovan, corporate partner and head of Liverpool office at Napthens, noted: “We were delighted to advise Chester Medical on its acquisition of Power Health Products, a well-established Yorkshire business with a strong reputation in the health and wellness sector. The acquisition represents an exciting strategic opportunity for our client and provides an excellent platform for the continued growth and development of their business.”
The acquisition marks a significant step for both companies, combining Chester Medical's packaging expertise with Power Health Products' manufacturing capabilities. The firms will continue to operate under their existing names, preserving their established market positions. The deal is expected to create new opportunities for collaboration and growth, strengthening their ability to serve customers across the pharmaceutical and health supplement sectors.
