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Custom HBC Acquires Custom Chocolate
Volume 629
July 23, 2009

In a deal announced at The ASI Show Chicago and expected to close within two weeks, Custom HBC Corp. (asi/47934) has reached an agreement to acquire Custom Chocolate (asi/47919). Specific terms were not disclosed, but Custom HBC will assume liabilities in the purchase. Custom Chocolate will become a subsidiary of Custom HBC and its owners Paul and Janet Schmid will continue with the company. "It opens up another category of business growth potential," says Larry Wilhelm, president of Custom HBC. "We believe this is a really good fit."

Through the deal, Custom HBC plans to offer chocolate products along with a line of coffee. "This will allow us to be strong in the second and third quarters with health and beauty care and strong in the first and fourth quarters with chocolate and coffee," says Wilhelm.

In addition to the acquisition, Custom HBC has announced an exclusive deal with Poppenex International to use its "logo in motion" technology. Custom HBC is selling lip balm and breath mints with a dozen stock motion effects, although the technology is customizable with various visual options.

Custom HBC is also finalizing a licensing deal with Alertag (asi/34030) to provide a medical information retrieval service. Emergency cards and tags would contain personal medical information that could be used by EMTs. Companies would advertise through a Web site where people can register and add their personal medical information, including blood type, allergies and insurance. "We think this will go a long way to bring back the pharma business in the industry," Wilhelm says.

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