August’s top news stories

KKR to acquire certain Campbell International operations for $2.2bn

Investment firm KKR signed a stock and asset purchase agreement with Campbell Soup Company to acquire certain international operations from Campbell for an enterprise value of nearly $2.2bn.

KKR will acquire a portfolio, which includes Arnott’s biscuits and Campbell’s simple meals and snacking brands in markets located in Australia, New Zealand, Indonesia, Malaysia, Singapore, Hong Kong and Japan.

It will also acquire manufacturing operations located in Australia, Indonesia and Malaysia.

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EU and US sign an agreement for imports of hormone-free beef

The European Union (EU) and representatives of the US Government signed an agreement to review the functioning of an existing quota to import hormone-free beef into the EU.

As per the terms of the agreement, out of the 45,000 metric tonne quota, 35,000 metric tonnes will be allocated to the US. The remaining quota can be used by exporters from other countries.

Additionally, the agreement will enable the US to export nearly triple its duty-free exports of non-hormone beef to the EU over the next seven years.

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TreeHouse Foods divests snacks division to Atlas Holdings

US-based packaged foods manufacturer TreeHouse Foods completed the divestiture of its snack nuts and trail mix business to Atlas Holdings for $90m.

The Flagstone Foods division manufactures and distributes private label healthy snacks in North America. Its product range includes nut, trail mix and dried fruits.

TreeHouse Foods president and CEO Steve Oakland said: “I believe that the sale to Atlas best positions the Snacks division for success.

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Impossible Foods and OSI Group enter co-manufacturing partnership

US-based developer of plant-based products Impossible Foods entered a co-manufacturing collaboration with global food provider OSI Group.

Starting next month, OSI will produce the Impossible Burger.

Impossible Foods Product and Operations senior vice-president Sheetal Shah said: “We conducted an exhaustive due diligence process to determine how to scale our manufacturing, both in the short term and over the next several years, and we were thoroughly impressed with OSI’s commitment to quality and responsiveness.”

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Fonterra intends to slash stake in China’s Beingmate

New Zealand-based dairy co-operative Fonterra is planning to divest its stake in the China-based baby food manufacturer Beingmate Baby & Child Food Company.

Currently, Fonterra owns an 18.8% stake in the Chinese firm.

Fonterra chief executive Miles Hurrell said: “One aspect of this plan was to take stock of our business. As part of this, we have re-evaluated every investment, major asset and partnership to ensure they still meet the co-operative’s needs today.

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Hershey to acquire nutrition bar maker ONE Brands for $397m

US-based snacks manufacturer Hershey signed a definitive agreement to acquire nutrition bars maker ONE Brands for $397m to further strengthen its position in the snacking segment.

ONE Brands will complement Hershey’s Oatmega business, which is part of the Amplify Snack Brands acquired last year.

Hershey further plans to leverage its core capabilities in sales and distribution, category management and digital commerce in a bid to expand the existing offerings of ONE Brands.

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Tyson Foods opens automation and robotics hub

American meat producer Tyson Foods has opened a facility in Springdale, Arkansas, to develop more automation and robotics for its food production plants.

Tyson Manufacturing Automation Center (TMAC) will be used to develop manufacturing solutions. It will offer space for collaboration with the company’s IT team and equipment suppliers.

It will also be used for training team members to use new technology.

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Nestle to invest $100m to set up factory in Gujarat, India

Swiss multinational food and drink processing conglomerate Nestlé is planning to build a facility in India to expand the production capacity of its Maggi noodles at Sanand in Gujarat.

The facility will be built by the company with an initial investment of Rs7bn ($99.2m) over a period of two years.

Nestlé India chairman and managing director Suresh Narayanan said: “This marks a significant step in enhancing our manufacturing footprint in line with our commitment to Make in India.

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ACCC raises concerns over Saputo’s cheese business buyout

The Australian Competition and Consumer Commission (ACCC) raised competition concerns over Canadian dairy firm Saputo’s proposed acquisition of Lion Dairy & Drinks’ cheese business.

In April, Canadian firm Saputo entered an agreement to acquire the speciality cheese business of Lion-Dairy & Drinks in Australia for A$280m ($197m).

Saputo, which owns a milk processing plant in Smithton, Tasmania, has proposed to buy Lion’s cheese processing plants in Burnie and King Island in Tasmania.

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Orkla to acquire stake in Iceland’s chocolate brand Nói-Siríus

Orkla, a supplier of branded consumer goods, signed an agreement to acquire a 20% stake in Icelandic chocolate and confectionery manufacturer Nói-Siríus.

Financial details of the acquisition have not been divulged.

Nói Siríus operates production plants and warehouse facilities in Reykjavik and is currently owned by several private investors.