YORK-based supermarket group Costcutter is growing its portfolio of retail brands after acquiring a 20 per cent stake in Simply Fresh.

Costcutter, which has its headquarters in Dunnington, has become a joint partner of the convenience sector brand, which was established in 2009 by Sukhjit and Kash Khera.

The past five years have seen Simply Fresh grow to 48 members, with the business on track for further growth which will take it beyond 60 members by the end of the year.

The new partnership with Costcutter will allow the brand to be developed further, with Simply Fresh aiming to have more than 300 stores in five years.

Now, as a joint partner, Costcutter Group will add the Simply Fresh fascia to its existing portfolio of brands, which include Costcutter, Kwiksave and Mace.

Daniel Quest, retail director for Costcutter Supermarkets Group, said: "Simply Fresh is an innovative addition to the symbol group sector and complements our existing family of brands, which will help attract and inspire new and existing members.

"It offers a solution for retailers wanting to put increased focus on providing fresh produce for their customers, and we look forward to supporting the future development of this core proposition.

"It is clear to see the growth potential for the Simply Fresh brand and its vision reflects ours, so working together on its future development is a natural next step."

Costcutter Supermarkets Group is predominantly a franchise business, with more than 2,500 convenience stores throughout the UK.

Founded in 1986, the Group directly employs more than 900 people nationwide and has its head office in York, and an office in Belfast.

Kash Khera, managing director for Simply Fresh, said: "Having worked with Costcutter Supermarkets Group for a number of years it is clear to see that we have the same goals and we are very much looking forward to developing our existing relationship as part of this new partnership.

"With access to Costcutter Supermarkets Group’s infrastructure and the full support of its team behind Simply Fresh we can continue the growth and strategic development of the business at a much quicker rate than we could have done on our own."