Surrey-based Monty’s Bakehouse has been acquired by leading Asian foodservice supplier SATS.

Established in 2003, Monty’s Bakehouse supplies products including packaged handheld baked snacks and desserts to global airlines and travel markets.

Originally supplying hot snack products for sports grounds, universities and office canteens, Monty’s Bakehouse broke into the air travel business after Air Canada came across one of its kiosks at a rugby match and invited it to tender for their hot snack service.

The business, which now has offices in the United Arab Emirates and manufacturing sites across Europe, the Middle East and Asia, became a wholly-owned subsidiary of SATS Investments in the S$48.4m (£27.2m) deal this weekend.

SATS said combining its expertise with Monty’s Bakehouse’s product and packaging innovation will enhance its offer to aviation customers and support growth into new areas of the food market.

“Customers across Asia will benefit from the sustainably-packaged, handheld snacks that Monty’s Bakehouse has been providing to a growing roster of premium airlines and other customer segments across the world,” stated SATS.

SATS and Monty’s Bakehouse, which is based in South Nutfield, Surrey, are to set up an innovation centre in Singapore as a test bed for food products for aviation catering, buy-on-board retail and other adjacent markets.

Monty’s Bakehouse has pioneered sustainable cabin packaging and recycling as a member of the Airline Sustainability Forum, and SATS plans to work with the UK business to develop packaging and fulfil its 2030 goal of adopting sustainable food packaging.

“Joining a multibillion-dollar market leader like SATS presents an exciting opportunity to accelerate the growth of Monty’s Bakehouse as well as support the growth of SATS in Asia,” said Monty’s Bakehouse chief executive officer Matt Crane.

SATS is present in over 60 locations and 13 countries across Asia Pacific and the Middle East.