Campbell to Expand in Faster Growing Health and Well Being Categories
Campbell Soup Company, the US-based food group, is acquiring Pacific Foods for $700 million in cash. Founded in 1987, Pacific Foods is a leading US producer of organic broth and soup, and also produces shelf-stable plant-based beverages and other meals and side dishes.
Pacific Foods will help accelerate Campbell’s efforts to deliver real food and beverages that meet consumers’ changing tastes and preferences. The acquisition will also further Campbell’s efforts to drive innovation in health and well-being to reinvent the center store, while giving the company more access to natural and organic customers and channels.
Organic food is a more than $11 billion category in the US, which grew at a compound annual growth rate of 15.3% over the past four years.
Denise Morrison, president and chief executive of Campbell Soup Company, says: “The acquisition allows us to expand into faster-growing spaces such as organic and functional food. Moreover, Pacific Foods is an excellent fit with Campbell — strategically, culturally and philosophically. It advances our strategic imperatives around real food, transparency, sustainability and health and well-being.”
Pacific Foods will become part of Campbell’s Americas Simple Meals and Beverages division, which includes Campbell’s soup, simple meals and shelf-stable beverage units in the US, Canada and Latin America.
