US food group Hain Celestial has continued with moves to simplify its portfolio by selling its French organic products business Danival to a subsidiary of European peer Wessanen.
Financial details were not disclosed.
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Hain Celestial bought Danival, which makes products including soups, spreads and sauces, in 2011 but the company is now engaged in a strategy to streamline its range to boost margins. The group, which manufactures brands including Clarks, Gale’s, New Covent Garden Soup Co. and Sun-Pat, revealed its new strategy in February 2019 and since then has sold off a number of brands including its Tilda rice business, turkey producer Plainville Farms and, in May, its Rudi’s organic bakery brand.
Mark Schiller, Hain Celestial’s president and CEO, said: “This transaction helps to further our brand portfolio simplification journey as we continue to improve our margins and cash flow to fuel long term sustainable growth and profitability.”
Netherlands-based Wessanen, the owner of brands including Mrs Crimble cakes and Whole Earth peanut butter, was acquired by a consortium of private-equity firm PAI Partners and Wessanen’s largest investor, Charles Jobson, last April.
Christophe Barnouin, CEO of Wessanen, said: “We are very pleased to welcome Danival and its teams to Wessanen. Danival will be a perfect fit with our family of companies. The brand is a pioneer in the organic French market with strong commitments: 100% organic, locally sourced, free from flavours, food colourings and thickeners.”
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