Feb. 2 at 3:04 PM
Hain Celestial announced plans to divest its North American snacks business as part of a broader strategy to sharpen its focus on core, higher-margin categories. The organic and natural products maker agreed to sell the unit to family-owned Canadian snack manufacturer Snackruptors for
$115 million in cash, with the transaction expected to close before February 28.
The company said the sale will allow it to concentrate resources on its priority categories in North America, which will include tea, yogurt, baby and kids products, and meal preparation offerings. Proceeds from the deal will be used primarily to reduce debt, helping to strengthen Hain Celestial’s balance sheet and improve its leverage profile.
CEO Alison Lewis said the divestiture supports the company’s efforts to simplify its portfolio and reinforce its financial position.
$HAIN