Del Monte Foods has expanded its reach in broths and stocks with the purchase of the Kitchen Basics brand from fellow US food manufacturer McCormick & Company.
California-based Del Monte Foods, best known for its canned fruit and vegetables, said the acquisition will enable the business to “scale our broth and stock portfolio across North America”. The company entered the category in 2011 with the purchase of the College Inn brand but it also supplies Veggieful frozen veg and cheese snacks, and fruit snacks under its own name.
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Set up in 1996 in Ohio, Kitchen Basics portfolio consists of broths and stocks, such as chicken, beef and turkey, along with vegetable and seafood.
Del Monte Foods, owned since 2014 by Singapore and Philippines-listed Del Monte Pacific, added the purchase of the Kitchen Basics brand “supports the company’s overall growth strategy, as Del Monte Foods focuses on innovation, renovation and customisation of its iconic brand portfolio, and expands the geographic reach of its stocks and broths business”.
No employees were part of the transaction, for which financial terms were not disclosed.
Greg Longstreet, the president and CEO of the California business, said: “Del Monte Foods has gone through a positive transformation over the past five years, and we have become a leading innovative CPG growth company. As we plan for the next decade of growth, we’re committed to strengthening our branded product portfolio to meet consumers’ changing needs.”
Spices, herbs and seasonings maker McCormick acquired Kitchen Basics in 2011 for US$38m. A spokesperson for the Maryland-based business confirmed the deal and that no employees were included in the transaction.
“McCormick decided to divest the Kitchen Basics business to deepen focus on our core consumer categories, particularly our brands with leading positions, including our spices and extracts, recipe mixes and condiments portfolio,” the company said in a statement provided to Just Food.
