Last updated on March 30th, 2018 at 02:08 pm
Campbell Soup Co. has completed the acquisition of Snyder’s-Lance Inc. for $50 per share in an all-cash transaction, which represents an enterprise value of approximately $6.1 billion.
“Snyder’s-Lance represents a strategic and transformative acquisition for Campbell, creating a $10 billion company with nearly half of our annual net sales in the faster-growing snacks category,” said Denise Morrison, Campbell’s president and CEO. “The combination of Campbell and Snyder’s-Lance creates a unique, diversified snacking portfolio of differentiated brands and a large variety of better-for-you snacks for consumers. I am excited about the combination and confident that it will create significant shareholder value through both revenue growth and cost synergies.”
Campbell is integrating the Pepperidge Farm and Snyder’s-Lance portfolios to create a unified snacking organization in the U.S. called Campbell Snacks. Campbell’s diversified snacking portfolio will feature Pepperidge Farm’s brands, including Goldfish and Milano, along with Snyder’s-Lance’s brands, such as Snyder’s of Hanover, Lance, Kettle Brand, Kettle chips, Cape Cod, Snack Factory Pretzel Crisps, Emerald and Late July.
Campbell’s global baked snacks product portfolio, including its Pepperidge Farm, Arnott’s and Kelsen businesses, generated approximately $2.5 billion in net sales in fiscal year 2017. With the addition of Snyder’s-Lance, snacking will represent approximately 47 percent of Campbell’s annual net sales (previously 32 percent). Campbell’s soup portfolio will represent approximately 26 percent of the company’s annual net sales.
Campbell Snacks leadership named
The new Campbell Snacks unit will be led by Carlos Abrams-Rivera, former president, U.S. biscuits and snacks, who will report to Luca Mignini, president, global biscuits and snacks.
“We carefully selected leaders from Campbell and Snyder’s-Lance to form the Campbell Snacks leadership team based on their expertise and understanding of how to leverage both businesses to support overall growth and profitability across the enterprise,” said Abrams-Rivera. “The Campbell Snacks team will focus on optimizing the value of our U.S. snacks business to deepen our partnership with customers through the power of the combined portfolio.”
The Campbell Snacks leadership team includes:
- Chris Foley, SVP/chief marketing officer, Campbell Snacks, will lead efforts to drive innovation and brand building across the expanded snacks portfolio. Foley joined Campbell in 1999.
- Bill Livingstone, VP, supply chain, Snyder’s-Lance, will oversee supply chain operations at Snyder’s-Lance; and Paul Serra, VP, supply chain, Pepperidge Farm, will oversee supply chain operations at Pepperidge Farm. Livingstone previously was responsible for overall supply chain for U.S. biscuits and bakery for the past eight years. Serra served as general manager for Arnott’s Malaysia and Singapore business.
- Cory Onell, has been appointed VP, sales, customer development and DSD operations for Campbell Snacks. He will oversee the Snyder’s-Lance customer and category sales organization along with the DSD operations at Pepperidge Farm and Snyder’s-Lance. Onell joined Pepperidge Farm in 2017 as VP, U.S. sales and DSD operations.
- George Vindiola, VP, research and development, Campbell Snacks, will oversee product development and innovation for the combined portfolio. Vindiola joined Pepperidge Farm in 2016, bringing more than 20 years of research and leadership experience from Frito-Lay and PepsiCo/Frito-Lay.
- Matt Wilken, VP, strategy, Campbell Snacks, will accelerate business strategy across Campbell Snacks. Wilken has been with Snyder’s-Lance for the last seven years in business strategy.
Additional leaders have been named to oversee finance, legal, information technology, human resources and communications.
“We have the insights and know-how in snacks to execute and grow in this space,” said Mignini. “I am very confident that Carlos and the expertise of the Campbell Snacks leadership team will continue to drive momentum in the businesses and achieve the cost synergies we have outlined. We are taking a disciplined approach to the integration of Snyder’s-Lance to ensure its success.”
See the full statement from Luca Mignini, president, global biscuits and snacks, addressing these changes below:
Today not only marks the completion of Campbell’s acquisition of Snyder’s-Lance, but also the unveiling of the new Campbell Snacks business.
This acquisition dramatically shifts our center of gravity – transforming Campbell into a $10 billion organization with an undeniably strong snacking portfolio.
To unlock the full potential of our combined iconic brands, we are integrating the Pepperidge Farm and Snyder’s-Lance portfolios to create Campbell Snacks – a unified snacking organization in the U.S.
With the creation of Campbell Snacks, we can leverage our snacking insights and know-how to become a major contender in the $89 billion U.S. snacking market. The unified Campbell Snacks team enable clear decision making and maintain flexibility to adapt quickly in a fast-moving snacking environment.
With more than 250 years of combined food heritage, our legacy of family- and founder-led brands were born from a strong entrepreneurial spirit and ongoing commitment to quality. Snyder’s-Lance’s passion “to make quality snacks for any occasion” squarely aligns with Campbell’s Purpose, “real food that matters for life’s moments.”
Campbell already enjoys a strong snacking business, which includes iconic brands such as Goldfish, Milano, Tim Tam, Shapes, Arnott’s and Kjeldsen, enjoyed around the world. With the Snyder’s-Lance acquisition, we’ve added a diverse portfolio of better-for-you snacks – including Late July, Snack Factory, Emerald and Kettle – and 100-year-old brands such as Snyder’s of Hanover and Lance.
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