Cake manufacturer Kate's Cakes has been bought by Danish food giant CSM in a deal worth £32.5m. CSM, which also owns BakeMark UK, purchased the West Sussex baker's shares for £20.5m, plus the company's debt costs of £12m. Kate's Cakes, which supplies cakes and desserts to Marks & Spencer, Pret a Manger and Tesco cafés, has a turnover of £23m. Over the past few years the company's sales growth has been in double digits. The management team will remain at the bakery's Ashington HQ. "This acquisition will create additional value for CSM in these premium market segments," said CSM chief executive Gerard Hoetmer. "It allows us to more quickly become a worldwide partner for the leading companies in the fast-growing, high-quality food service and out-of-home market segments."