Campbell Soup completes acquisition of organic baby food producer Plum Organics

US-based Campbell Soup has completed the acquisition of Plum Organics, a leading provider of organic foods and snacks for babies, toddlers and children, for an undisclosed amount.

Established in 2007, Plum Organics is based in Emeryville, California, and it reported gross sales of $93m for the year ended 31 December 2012

‘Plum’ is a leading baby food brand in the US and its product portfolio includes organic baby food in convenient squeezable pouches; Super Puffs, a line of bite-sized nutritious puffed snacks; Plum Mighty Four, a new line of nutritious toddler snack pouches; and Plum Kids ‘Mashups’, a line of fun squeezable fruit, veggies and Greek yoghurt.

Campbell stated that it will operate Plum as a standalone business within its Campbell North America division.

Plum Organics’ senior management team, including co-founder and president Neil Grimmer, will continue to lead Plum from its headquarters in Emeryville, California.

Grimmer will report to Campbell North America president Mark Alexander.

Alexander said, "Plum is generating great success in the marketplace, and we believe that Campbell’s resources will help fuel further expansion of the ‘Plum’ brand within the fast-growing premium, organic food segment."

Campbell entered into an agreement to acquire Plum Organics in May this year.

At the time of signing the agreement, Campbell president and chief executive officer Denise Morrison said that Plum Organics’ products would be a great addition to the company’s North American portfolio of leading brands.

"The acquisition will help deliver on our dual mandate to strengthen our core businesses and to expand into faster-growing categories and adjacencies. It represents another step toward our long-term goal of shifting Campbell’s centre of gravity," Morrison added.

Davis Polk & Wardwell served as legal counsel to Campbell, while Plum was advised by Houlihan Lokey, and Jones Day acted as legal counsel.

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Image: Campbell stated that it will operate Plum as a standalone business within its Campbell North America division. Photo courtesy of Coolcaesar.