Campbell completes Pacific Foods acquisition in US

US-based soup company Campbell has completed the acquisition of Pacific Foods of Oregon (Pacific Foods) for $700m in cash, subject to customary purchase price adjustments.

Established in 1987 in Tualatin, Oregon, Pacific Foods produces organic broth as well as soup products. It is also engaged in the production of shelf-stable plant-based beverages, meals and sides.

The acquisition of Pacific Foods is expected to further enhance Campbell’s portfolio of organic foods.

Campbell president and chief executive officer Denise Morrison said: “Pacific Foods is an excellent strategic fit with Campbell’s health and well-being portfolio with its strong position in the faster-growing natural and organic category.

“We are thrilled to add such a powerful and respected organic brand to our company and intend to leverage our expertise and resources to build on Pacific’s track record of sales growth.”

Campbell will include Pacific Foods in its Americas Simple Meals and Beverages division that offers food products such as Campbell’s soup, simple meals and shelf-stable beverage units in the US as well as in Canada.

Alexander further added: “Pacific is an authentic brand with a real food philosophy that closely mirrors our own.

“We deeply respect what Pacific has built, and our aim is to help Pacific to accelerate growth while continuing its purpose-driven mission: to make nourishing foods with simple, organic ingredients.”

The American soup company plans to make further investments in Pacific Foods in order to expand distribution network, boost marketing support for brand building as well as improve research and development activities.

Campbell plans to initiate integration Pacific Food’s key functions with immediate effect and will continue to operate Pacific Foods out of Tualatin.