Sector News

Hershey to acquire One Brands for $397 million

August 29, 2019
Food & Drink

The Hershey Co. has entered into a definitive agreement to acquire nutrition bar maker One Brands, L.L.C. for $397 million, or approximately $325 million net of tax benefits.

Founded in 1999 by Ron McAfee, One Brands offers a portfolio of nutrition bars that provide 20 grams of protein and contain 1 gram of sugar per bar. The bars are all certified gluten-free and come in flavors such as pumpkin pie, cinnamon roll, chocolate chip cookie dough and white chocolate truffle. One Brands also manufactures a line of bars sweetened with stevia called One Basix.

Hershey intends to expand the existing One Brands offerings by “leveraging its core capabilities in sales and distribution, category management and digital commerce,” Hershey said.

One Brands will complement Hershey’s Oatmega business, which it acquired as part of the 2018 purchase of Amplify Snack Brands, as well as its recent investment in Fulfil Holdings Ltd., a European manufacturer of vitamin-fortified, high-protein nutrition bars, Hershey said. The company expects the One Brands acquisition to be slightly accretive to earnings in the first full year post closing.

“One’s portfolio of great tasting nutrition bars, with indulgent flavors such as birthday cake, maple glazed donut and peanut butter pie, will be a strong strategic fit within our overall innovative snacking powerhouse vision,” said Mary Beth West, chief growth officer for Hershey. “Our beloved confection brands will continue to be the engine that drives our business while we broaden our better-for-you portfolio, offering more snacking choices for more consumers.”

The transaction is set to close in the fourth quarter of 2019.

By Rebekah Schouten

Source: Food Business News

Related News

January 16, 2020

Nestlé vows to boost spending on recycled packaging 

Food & Drink

LinkedIn Twitter FacebookNestlé has pledged to spend up to $2bn to increase the use of recycled plastics in its food packaging, making the biggest public financial commitment among consumer goods […]

January 16, 2020

U.S., China sign phase one of trade pact

Food & Drink

LinkedIn Twitter FacebookPresident Donald Trump and Chinese Vice-Premier Liu He on Jan. 15 signed the Economic and Trade Agreement between the United States and the People’s Republic of China (the […]

January 16, 2020

Aryzta North America appoints new CEO and new CCO

Food & Drink

LinkedIn Twitter FacebookAryzta North America has made a number of additions to its senior leadership team, appointing Tyson Yu as its new CEO and naming Jason Heffernan as its new […]