Chicago-based The Hillshire Brands Co. signed a definitive agreement to acquire Van’s Natural Foods from private equity firm Catterton Partners, Greenwich, Conn. Hillshire Brands will pay $165 million for the Phoenix, Ariz.-based manufacturer of better-for-you frozen breakfast and snacks. Van’s is expected to boast net revenues of approximately $60 million in calendar year 2014. The transaction is expected to close in May, pending regulatory clearance. Van’s management will continue to lead the business.
“The Van’s brand is a terrific addition to our portfolio,” says Sean Connolly, president and CEO of Hillshire Brands. “Not only does it expand our presence in the frozen category, [but] it also gives us a proven health and wellness brand with extendability beyond frozen.”
“As a leader in branded foods, including breakfast options, Hillshire Brands is an ideal strategic partner for Van’s,” says Eric Kufel, chief executive officer of Van’s. “Our positioning in the large and growing wellness consumer lifestyle segment is a perfect complement to Hillshire Brands’ product portfolio. We are pleased to have worked with Catterton, which helped drive our significant growth and market expansion into multiple new categories. I am truly excited to be joining with Hillshire and beginning the next phase of Van’s growth category.”