Campbell Soup completes sale of European Chips Business to Valeo Foods

US-based Campbell Soup Company has completed the sale of its European Chips Business to Valeo Foods, a portfolio company of European investment firm CapVest Partners, for approximately £66m ($80m).

The Campbell European Chips business includes UK-based Kettle Foods and the Netherlands-based Yellow Chips.

Kettle Foods produces hand-cooked crisps, popcorn, rice snacks and vegetable-based chips. It offers its products under brands such as KETTLE Chips and Metcalfe’s skinny popcorn.

Campbell’s Dutch business includes Yellow Chips, which produces vegetable and organic potato chips under private label snacks, as well as brands such as Go Pure.

The deal was first announced in September when Valeo Foods signed an agreement to acquire Campbell Soup’s European Chips business.

As per the terms of the agreement, Campbell will retain the Kettle Brand business in the US and other global markets, excluding Europe and the Middle East. It intends to grow the Kettle Brand as an important part of its snacks portfolio.

Campbell intends to use proceeds from the divestiture to reduce debt.

The company also noted that its European Chips business had net sales of nearly $130m in fiscal 2019.

This month, Valeo Foods Group signed a binding agreement to acquire Matthew Walker Christmas puddings business from 2 Sisters Food Group for £67m ($81.8m).

Based in Heanor of Derbyshire, Matthew Walker Christmas is claimed to be the world’s oldest Christmas pudding maker with a significant market presence in the puddings segment.