American food group Hain Celestial has recently announced the sale of its Thinsters cookie business to J&J Snack Foods, as part of their efforts to optimize their “better-for-you” portfolio and reduce debts.
J&J Snack Foods, on the other hand, sees this acquisition as a strategic move to strengthen its position as a leader in providing America’s favorite snacks.
The financial details of the deal were not disclosed, but both companies are positive about the outcomes of this transaction.
According to Hain Celestial, divesting Thinsters will further refine the company’s portfolio and allow them to focus on driving greater reach and scale for their core better-for-you brands.
Wendy Davidson, the president and CEO of Hain Celestial, stated, “This sale streamlines our supply chain network and strengthens our ability to focus our efforts on driving greater reach and scale of our core better-for-you brands.”
Last May, Hain Celestial incurred a non-cash impairment charge on its Thinsters cookie brand, resulting in a net loss, compared to a profit from the previous year.
The acquisition of Thinsters by Hain Celestial late in 2021 was a strategic move to enhance their snacks portfolio, which had a significant impact on their financial results.
Speaking about the growth plans for the individual businesses, Wendy Davidson emphasized the importance of investing in businesses that can drive growth, while ensuring all brands in the portfolio contribute positively.
J&J Snack Foods president and CEO, Dan Fachner, expressed excitement about acquiring the Thinsters brand, seeing it as a valuable addition to their offering of cookies and baked goods.
He stated, “Thinsters’ dedication to using high-quality, wholesome ingredients aligns perfectly with our customer base, and we are eager to expand distribution and introduce Thinsters cookies to a wider audience.”
Both Hain Celestial and J&J Snack Foods have reported positive financial results in recent quarters, showcasing the growth and profitability of their respective businesses.
