Campbell Soup to sell Bolthouse Farms to Butterfly Equity for $510m

Food acquisition news : Campbell Soup Company has agreed to sell Bolthouse Farms, a producer of organic beverages, dressings, and carrots, to an affiliate of Butterfly Equity for $ 510 million.

Bolthouse Farms, which was acquired by Campbell Soup in August 2012, is based in Bakersfield and Santa Monica in California. The company operates facilities across Hodgkins in Illinois, Wheatley in Ontario and Prosser in Washington and has a workforce of nearly 2,200 employees.

Mark Clouse – Campbell’s President and CEO, commenting on the sale of Bolthouse Farms, said: “The sale of Bolthouse Farms supports our strategy to focus on our two core North American businesses, Campbell Snacks and Campbell Meals and Beverages, where we have iconic brands and strong market positions.”

Campbell Soup to divest Bolthouse Farms to Butterfly Equity. Photo courtesy of CSC BRANDS, L.P.

Following the completion of the sale of Bolthouse Farms, Campbell Soup will have divested its entire Campbell Fresh division, which will be expected to be wrapped up by the year-end, subject to customary closing conditions.

Campbell Fresh reported net sales of $ 970 million in the fiscal year 2018. Through the sale of the division, Campbell Soup will cut down its debt by nearly $ 570 million.

Recently, the company signed separate deals to sell Garden Fresh Gourmet and a refrigerated soup plant in Everett, Washington.

Garden Fresh Gourmet, a refrigerated salsa brand, is set to be divested to an affiliate of Fountain of Health USA, a manufacturer of hummus, dips, prepared salads, pâtés, variety packs, and frozen desserts.

Prior to that, Campbell Soup signed a deal to sell the Everett refrigerated soup plant to an affiliate of Seattle-based private investment company Joshua Green Corporation (JGC) for an undisclosed price, as per our food acquisition news.

Campbell Soup launched thorough divestiture processes for Campbell Fresh and Campbell International businesses as part of its board-led strategy and portfolio review that was outlined last August. The company said that it is in the process of divesting Campbell International.

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