Premium UK crisp maker Tyrrells has entered into a definitive agreement to be acquired by Amplify Snack Brands – the US company best known for its SkinnyPop brand – in a deal worth £300 million.
The deal means that the Tyrrells range in the US, the largest global market for snacks, will benefit from the experience and knowledge of the Amplify team, as well as its expertise in growing premium brands in the North American region, Tyrrells said. All other non-North American territories, including the international launch of SkinnyPop, will be managed by the existing UK-based Tyrrells team.
David Milner, CEO of Tyrrells, will become president international of Amplify upon completion of the transaction.
Tom Ennis, Amplify’s president and chief executive officer, said: “The product characteristics and flavour profiles of Tyrrells’ on-trend premium brands align with Amplify’s better-for-you snacking strategy. Our two brands are examples of strong entrepreneurial spirit with successful track records in transforming categories and creating growth brands. Together we plan to capitalise on each company’s market leadership and sales force capabilities to drive higher revenue growth than either company could independently accomplish.”
And Tyrrells CEO David Milner said: “This is a terrific deal for Tyrrells and the team who have delivered a stellar performance over the last few years. As a small, UK farm-based business, it is a tremendous achievement to be now part of a US publicly traded company with the international reach to make Tyrrells a global brand.”
The acquisition has been announced after the Herefordshire-based crisp maker trebled its value in the last three years, since it was acquired by Investcorp for £100 million in 2013. Sales and pre-tax earnings have more than doubled, and employee numbers have grown by over 70% globally. 30% are new positions created in the UK.
In the last 12 months, Tyrrells has grown both organically and through acquisitions of its own in Australia and Germany – namely takeovers of Yarra Valley Foods and Aroma Snacks.
The deals further expanded its better-for-you snacking portfolio into organic and gluten-free categories and brought the proportion of Tyrrells’ revenue obtained from international markets close to 40% – double that of three years ago, when Investcorp took over the brand.
Amplify Snack Brands is a major player in the US’ rapidly expanding better-for-you snacking category, with data showing that SkinnyPop popcorn has grown by over 35% in the last year to over $203 million. It remains one of the fastest growing ready-to-eat popcorn brands in North America.
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