KKR & Co., Inc., a New York-based private equity firm, has completed its $2.2 billion acquisition of certain international operations of Campbell Soup Co., including the Arnott’s biscuits business in Australia and Asia Pacific, the simple meals and shelf-stable beverage business in Australia and Asia Pacific, and the business in Latin America. Arnott’s sells cookies and crackers under Arnott’s and TimTam brands. The company has plants in Australia, New Zealand and Singapore.
Following the transaction, Campbell Soup Co. has now completed the sale of its entire Campbell International division, including Kelsen Group, for an aggregate price of approximately $2.5 billion.
Under the terms of the agreement that was first announced in August, Campbell Soup Co. and KKR have entered into a long-term licensing arrangement for the exclusive rights to use certain Campbell brands, including Campbell’s, Swanson, V8, Prego, Chunky and Campbell’s Real Stock, in Australia, New Zealand, Malaysia and other select markets in Asia, Europe, the Middle East and Africa.
The transaction concludes the divestiture process that Campbell Soup Co. announced in August 2018. In total, the company divested the Campbell International and Campbell Fresh divisions and also sold its European chips business. Campbell Soup Co. said it now is focused on its two core North American businesses: Snacks and Meals & Beverages. Campbell Soup Co. has used and will continue to use the aggregate net proceeds of approximately $3 billion from the divestitures to reduce debt.
Campbell Soup Co.’s net income during the first quarter ended Oct. 27 was $166 million, equal to 55c per share on the common stock, down from $194 million, or 64c per share, in the same period a year ago. Sales for the quarter dipped to $2,183 million from $2,202 million the year prior.
By Eric Schroeder
Source: Food Business News
General Mills has sold its US yogurt business to French dairy giant Lactalis, officially exiting the US yogurt market. The move marks a strategic pivot for the US food giant, which aims to sharpen its focus on higher-growth categories like snacks, pet food, and ice cream.
The US-based food producer entered into a restructuring support agreement with a group of lenders who hold a portion of its term loan debt. The agreement outlines a plan to run a “going-concern” sale, allowing the company to continue operations during the process.
Roelofs joined Refresco in 2007 and oversaw major expansion. The company now operates 75 manufacturing sites in 13 countries and employs over 14,000 people. During his tenure, Refresco grew from a regional player to a global leader in beverage solutions.
