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Mondelēz To Acquire Majority Interest In Perfect Snacks

DEERFIELD, IL -- Mondelēz International has agreed to acquire a majority interest in Perfect Snacks, a pioneer in the fast-growing refrigerated nutrition bars segment. Perfect Snacks' organic, non-GMO, nut-butter based protein bars and bites join Mondelēz's portfolio of global and local brands, includeing Oreo, Cadbury, Milka and belVita. The financial terms of the transaction were not disclosed. Mondelēz said the transaction is expected to create growth opportunities by using the scale and resources of ...

June 24, 2019 by Emily Jed

DEERFIELD, IL -- Mondelēz International has agreed to acquire a majority interest in Perfect Snacks, a pioneer in the fast-growing refrigerated nutrition bars segment. Perfect Snacks' organic, non-GMO, nut-butter based protein bars and bites join Mondelēz's portfolio of global and local brands, includeing Oreo, Cadbury, Milka and belVita. The financial terms of the transaction were not disclosed.

Mondelēz said the transaction is expected to create growth opportunities by using the scale and resources of to expand consumer penetration and U.S. distribution of Perfect Snacks' products and future innovation. The acquisition is expected to close later this summer.

Inspired by their father, Bud Keith, and his early innovations in delivering whole food nutrition, the eldest of his 13 children came together in 2005 to turn his original nutrient-dense recipe into a brand. With increased distribution in U.S. retailers, the Perfect Snacks product range has recently expanded from the original Perfect Bar, to include Perfect Kids refrigerated snack bars and Perfect Bites refrigerated protein snacks. In 2018, the business generated approximately $70 million in net revenue.

Mondelēz plans to operate Perfect Snacks as a separate business to nurture its entrepreneurial spirit and maintain the authenticity of the brand, while providing resources to help accelerate growth. The current senior leadership, including Bill, Leigh and Charisse Keith, will continue to run the business from its headquarters in San Diego, CA, and they will retain a "significant" minority equity interest in the company. All Perfect Snacks products will continue to be made at their current manufacturing locations.

The U.S. refrigerated snacks segment generates $20 billion in annual sales and represents one third of the total U.S. snacking market, Mondelēz pointed out. Within that space, well-being snacks, which includes nutrition bars, packs with nuts and fruits, yogurts as well as hummus, represent around $7 billion and is growing faster than other refrigerated snacks at around 8% a year over the past three years, according to Mintel's "The Future of Fresh" report released in July 2018.

"We have a mission to lead the future of snacking by offering the right product, for the right moment, made the right way," said Mondelēz International executive vice- president and president, North America Glen Walter. "Well-being snacks in general, and refrigerated well-being snacks in particular, are a fast-growing segment and we look forward to working with and supporting the Keith family to help accelerate this brand's great momentum."