USA: Pinnacle Foods set to buy Boulder Brands
Pinnacle Foods, a producer, marketer and distributor of food products and owner of the Bird's Eye brand in the US, has announced that it has agreed to acquire Boulder Brands in a deal valued at approximately $975 million, including around $265 million of net debt.
Describing the move as a "strategic, synergy-rich transaction", Pinnacle said that the acquisition "expands Pinnacle’s presence in the natural and organic retail channel and provides Pinnacle with a new growth platform in refrigerated foods".
Boulder Brands, headquartered in Boulder, Colorado, manufactures a portfolio of health and wellness brands, including Udi’s and Glutino gluten-free products, EVOL natural frozen meal offerings, and Smart Balance and Earth Balance refrigerated and shelf-stable spreads. Annual net sales of Boulder Brands totalled over $500 million in 2014, Pinnacle Foods said.
Commenting on the announcement, Pinnacle Foods chief executive officer Bob Gamgort stated: "The acquisition of Boulder Brands further expands our health and wellness portfolio, currently anchored by the Birds Eye® and gardein™ brands. In addition to being a synergy-rich, accretive transaction with on-trend brands, the acquisition provides us with an important health and wellness talent pool in Boulder, Colorado. In this regard, we plan to retain Boulder’s existing headquarters location".
Boulder Brands chairman Dean Hollis added: "Boulder Brands’ purpose has been to ‘lead change and improve lives’ and today marks an important milestone in that journey. Together with Pinnacle Foods, Boulder Brands will have additional and stronger resources to drive our brands and deliver value to customers and consumers, while providing new opportunities for employees. We expect a seamless transition and look forward to accelerating our growth across an impressive collection of health and wellness brands as part of Pinnacle Foods".
Source: Pinnacle Foods