Hormel acquires Skippy
Hormel Foods has acquired Skippy, the second-largest peanut butter brand in the US, from Unilever. Through the deal, Hormel hopes to bolster its overseas presence and grow the domestic business through innovation. For its part, Unilever believes that a more focused US portfolio will yield better results.
The sale of Unilever's Skippy business was confirmed yesterday (3 January) when it was announced that the iconic peanut butter brand would find a new home with Hormel Foods. While Hormel clearly has big plans for Skippy, Unilever will be hoping that an increased focus will benefit its food portfolio. In part one of our two-part analysts, Katy Askew looks at how Hormel hopes the deal will benefit its bottom line.
News that Unilever has sold its Skippy peanut butter brand comes as little surprise. The well-flagged disposal follows a number of divestments in the packaged food space. The consumer goods giant is clearly hoping that its food interests will benefit from greater focus, while the decision to shed a largely US-leaning brand reflects Unilever's disposition towards emerging markets. Katy Askew reports.
Hormel Foods will acquire the Skippy peanut butter brand from Unilever for a consideration of around US$700m, it emerged today (3 January).
Consumer goods giant Unilever is "considering options" - including the potential sale - of its Skippy peanut butter brand in the US and Canada. The news has sparked fresh speculation that the group will ultimately sell off larger chunks of its food portfolio, which could lead to an eventual split. With Unilever insisting it "remains committed" to food, Katy Askew looks at the strategic rationale behind the possible sale.
Unilever has confirmed it is considering the possible sale of its US peanut butter brand, Skippy.
- On the money: Unilever shifting into growth spots
- On the money: Danone denies strategy overhaul
- The just-food interview: Premier Foods CEO Darby
- Comment: Danone could be mulling strategy shift
- Focus: Progress but Campbell faces questions
- Unilever sees lacklustre H1 food sales
- PepsiCo H1 profits up, forecast raised
- Hovis eyes Leicester bakery closure
- M&A-hungry dairy co-op Agropur in Davisco deal
- Australian dairy innovation "hub" targets Asia