Tangerine, the Blackpool-based confectionery firm, has bought the confectionery arm of Burton's Foods.
According to Tangerine, the deal creates the UK's largest independent sugar confectionery firm, with a turnover to nearly £60m.
Steven Joseph, chairman of Tangerine, said: "The acquisition of the confectionery division of Burton's Foods is a great opportunity for Tangerine. The products and expertise are an excellent fit with our business and development plans."
The deal includes the Burton's factory at Vicarage Lane, Blackpool, where around 180 people work. This move increases Tangerine's capacity for gums and jellies production.
The Burton's business operates from a 9.4-acre site and will add new products such as liquorice allsorts and dolly mixtures to the Tangerine portfolio.
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