Charlotte, NC — The sale of Snyder’s-Lance, Inc.’s private brands business and two North American plants to Shearer’s Foods, LLC for $430 million is complete, the company reports.
Paired with its recent purchase of Baptista’s Bakery, the snack foods manufacturer expects an annualized reduction in net revenue of $250 million as well as operating margins. Moving from private brands to branded “better-for-you” products is part of the company’s strategic plan to shift resources to its branded premium snacks and health-focused growth categories, Snyder’s-Lance claims.
Concomitantly, it is implementing a margin improvement and restructuring plan to offset stranded costs from the sale of its private brands by scaling operations, allowing it to focus on branded products and its direct store delivery and direct sales networks.
The company plans to release more specific information on its goals and initiatives in August.