Conagra Brands has opted to offload its direct-store-delivery (DSD) snacks business to Utz Quality Foods for an undisclosed sum, as the company aims to prioritise its core business operations.
Conagra Brands acquired the DSD snacks business in 2018 as part of its $10.9 billion acquisition of Pinnacle Foods, and the business includes brands such Tim’s Cascade Snacks, Hawaiian Snacks, Erin’s, Snyder of Berlin and Husman’s.
Sean Connolly, president and chief executive officer of Conagra Brands said: “We continue to reshape our portfolio and focus our resources on priorities that support Conagra’s business strategy and create value for shareholders.
“While Conagra has a large and growing snacks business, we do not currently operate with a DSD model. We believe this business will have more opportunity for growth under Utz, an established DSD operator.”
Dylan Lissette, chief executive officer of Utz added: “We are excited about the opportunity to add these important brands and capabilities to our portfolio.
“These brands bring a strong consumer following and unique craft heritage. Their distribution and manufacturing capabilities, along with their customer relationships, enhance our ability to further grow our brand portfolio further west.”
Last week, Conagra unveiled plans for a new US innovation site to enable the “rapid development” of contemporary, on-trend products, with a particular focus on snack products.
By Martin White
Source: FoodBev
Industry groups representing nearly every sector of the US economy are calling for clearer and more coherent guidelines for essential business designations. State and local officials have implemented a variety […]
The Food and Drug Administration in recent days issued three guidance-to-industry documents to assist food manufacturers, retailers and restaurants meet consumers’ food needs during the coronavirus (COVID-19) pandemic. The guidance […]
While changing consumer behaviour has resulted in slow growth for some dairy companies, evolving trends, including the demand for functional foods, are causing a surge in purchases in this segment […]
