Sector News

Flowers Foods buys bakery firm Canyon Bakehouse for $205m

November 8, 2018
Food & Drink

Flowers Foods has agreed to acquire Canyon Bakehouse, a gluten-free baking company based in Colorado, for approximately $205 million.

Canyon Bakehouse offers a line of 21 gluten-free breads, buns, bagels, English muffins, and specialty items. Almost 90% of its sales are distributed frozen through retailers in the US. The firm is said to have generated a compound annual net sales growth rate of approximately 45% since 2014.

The company was founded by Josh and Christi Skow and Ed Miknevicius in 2009 after Christi was diagnosed with celiac disease. It now employs 206 people and operates in a new 165,625-square-foot bakery with two production lines in Johnstown, Colorado.

After the transaction, which is expected to be completed in the fourth quarter of 2018, Josh Skow will continue to lead the business as president and Christi Skow will serve as brand ambassador.

Flowers Foods president and CEO Allen Shiver said: “Canyon Bakehouse is an innovative leader in a growing segment of the bakery category, which closely aligns this acquisition with our strategic goals.

“They have great products, a talented team of employees, a state-of-the-art gluten-free bakery, and a brand with an enthusiastic fan following. We see opportunities to leverage Flowers Foods’ distribution network and retail partnerships to drive growth by bringing Canyon Bakehouse products to more consumers across the country. We look forward to welcoming Josh, Christi and the rest of Canyon Bakehouse’s employees to the Flowers team.”

Canyon Bakehouse CEO and founder Josh Skow added: “Since the beginning, the mission of Canyon Bakehouse has been to help those who have given up gluten to love bread Again. We are tremendously pleased with the brand, the products and the teams that we have developed and grown over the past nine years, and we are thankful for the many partners who have helped us along the way.

“We are now very excited about the opportunities for our company alongside Flowers Foods. With Flowers’ national reach, we will be able to bring our gluten-free products to many more consumers. Flowers shares our passion for baking and they understand what makes our company and our products unique. We look forward to joining the Flowers Foods family.”

Source: FoodBev

comments closed

Related News

December 3, 2022

AI central to Nestle’s innovation overhaul

Food & Drink

Nestle SA has accelerated its product development process by 60% since 2016, according to the company. The faster speed to market has been achieved through a restructuring of its research and development process. Now the company is investing in various forms of artificial intelligence (AI) and machine learning to further improve its R&D process and generate better results.

December 3, 2022

Takeover on the horizon? Brenntag makes preliminary indication of interest for Univar Solutions

Food & Drink

German chemicals distributor Brenntag has confirmed potential takeover talks with US rival Univar Solutions and is understood to be debating the feasibility of a potential acquisition in the coming months. Univar Solutions confirms that it has received a preliminary indication of interest from Brenntag regarding a potential transaction.

December 3, 2022

Cargill announces purchase of Owensboro Grain Company

Food & Drink

Cargill has announced the acquisition of Owensboro Grain Company, a soybean processing facility and refinery located in Kentucky. The purchase of the Owensboro-based company will support Cargill’s efforts to “modernise and increase capacity across its North American oilseeds network to support growing demand for oilseeds driven by food, feed and renewable fuel markets”.