Food and beverage giant PepsiCo on Friday announced that it has reached an agreement to acquire the remaining 50% interest in dips and spreads companies Sabra and Obela — becoming the sole owner of both brands.
Sabra and Obela are currently 50-50 joint ventures formed between PepsiCo and Strauss Group to manufacture, distribute and sell refrigerated dips and spreads. The Sabra venture, founded in 2008, is based in New York and operates in the U.S. and Canada; Obela, established in 2012, is based in Geneva and operates in Australia, New Zealand and Mexico.
Sabra, in particular, has become a leading producer of hummus with nearly $400 million in U.S. retail sales.
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PepsiCo officials said the transaction would enable the company to "continue to transform its portfolio."
"As we evolve our food portfolio and bring people more choices for more occasions, our aim is to meet the growing demand for positive choices and on-the-go options," PepsiCo Foods North America CEO Steven Williams said in the announcement. "Nutritious, simple foods like refrigerated dips and spreads represent a space we have long desired to expand in the U.S. and Canada. We are grateful to the Strauss Group for our long and successful partnership and look forward to this next chapter for the Sabra and Obela brands, as well as the PepsiCo food portfolio."
PepsiCo expects the deals to be completed by the end of the year, subject to customary closing conditions. Additional terms were not disclosed.
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