Campbell’s has agreed a $4.87 billion deal to purchase snack maker Snyder’s-Lance, the company’s largest deal to-date in its 148-year history.
The deal is worth $50 per share, and Campbell’s paid the full amount in cash. Snyder’s-Lance will join Campbell’s Global Snacks and Biscuits division.
Snyder’s-Lance’s product portfolio includes snack food brands such as Kettle Chips, Snack Factory Pretzel Crisps and Pop Secret.
This deal represents Campbell’s sixth acquisition in five years, and the deal is the second that Campbell’s has completed this month, following on from the $700 million purchase of soup producer Pacific Foods.
Denise Morrison, Campbell’s president and chief executive officer, said, “The acquisition of Snyder’s-Lance will accelerate Campbell’s strategy and is in line with our purpose, ‘real food that matters for life’s moments.’ It will provide our consumers with an even greater variety of better-for-you snacks.
“This acquisition will dramatically transform Campbell, further diversifying our portfolio into the faster-growing snacking category.”
Brian J. Driscoll, president and chief executive officer of Snyder’s-Lance, said: “The transaction also unlocks the value of our portfolio, reflecting the progress we have made planning and executing our transformation.
“We are excited to join Campbell and to continue to provide great products to our consumers with an uncompromising focus on ingredients, quality and taste.”
Campbell’s Global Snacks and Biscuits division president Luca Mignini added: “Campbell’s expertise in brand-building, R&D, and supply chain and operations, coupled with Snyder’s-Lance’s well-known portfolio, distribution system and history of strong sales growth will allow us to create a differentiated, branded snacking business with greater scale.
“The combined portfolio will be even more relevant to consumers who are increasingly seeking better-for-you snacks.”
© FoodBev Media Ltd 2020