Finsbury Food plc was established in August 2002 as a result of the renaming of Megalomedia plc, a cash shell created in October 2001 following the sale of its business. Finsbury is an AIM-listed company that is seeking to build a food business in the UK. The first stage of this strategy was completed in August 2002 with the acquisition of Memory Lane Cakes Limited, a cake manufacturer in Cardiff. Subsequently, in March 2003, Finsbury completed the acquisition of Nicholas & Harris Limited of Salisbury, a producer of premium and speciality breads. In September 2003, the Group signed an exclusive five-year arrangement with Nestle, for the use of its confectionery brands in the cake sector. With the exception of Marks & Spencer (which maintains exclusive suppliers), Finsbury supplies every major multiple in the UK. This arrangement provides significant opportunities for the group to cross-sell its different product lines. Already Nicholas & Harris has been able to develop new products for Asda through a pre-existing relationship with Asda and Memory Lane Cakes. Finsbury maintains an even spread of multiples, with its largest customer, Tesco, accounting for only 33% of the overall group turnover. Both Memory Lane Cakes and Nicholas & Harris are short shelf life operations, with hight service levels. This provides a significant barrier to entry as the skills required to replicate the culture involved in the daily production of perishable goods are considerable. Both businesses within the Finsbury Food Group are premium producers. Customer tastes and expectations in both the bread and the cake markets are moving upmarket. This not only plays to Finsbury's strenghts, but also provides opportunities for the business to develop new products and to grow margins.