Campbell's Is Buying Snyder's
- Author: Steve Townsend Dec 19, 2017,
Dec 19, 2017, 10:54
Shares of Campbell Soup and Snyder's-Lance have risen after a report that the soup company is in advanced talks to buy the pretzel maker. Campbell said it will pay Snyder's shareholders $50 per share in cash. Snyder's-Lance had considered moving production out of MA but instead decided it would add to the size of its facility and upgrade the tour for visitors. Goldman Sachs and Deutsche Bank worked with Snyder's-Lance.
"Right now, we're still very early in this process and certain decisions have yet to be made".
US stocks climbed again Monday and set more records as investors grew more certain Republicans will pass their tax plan this week.
Credit Suisse and Rothschild acted as financial advisers to Campbell Soup.
"We know how to do this", she said of cost-cutting.
The Hanover, York County-based Snyder's of Hanover is one of the largest pretzel bakers in the nation.
Camden, New Jersey-based Campbell has reported falling sales as more people avoid processed foods. Cloud services provider Akamai Technologies leaped after Elliott Management, led by activist investor Paul Singer, disclosed a 6.5 percent stake in the company and said it wants to discuss changes to the company's business and other areas. The company was No. 862 on the 2017 Forbes list of Fortune 1000 companies.
Soup sales have fallen 9% since a year ago, the company reported in November.
This effort would primarily target duplication in the companies' manufacturing, warehouse and distribution operations, he said. Lee Jr. was replaced by Brian Driscoll, the former president of Diamond Foods.
With the addition of Snyder's-Lance, Campbell's annual revenues are expected to exceed $10 billion, a five-year goal Morrison set in 2014.
Like all consumer giants, Campbell's attempts to move fresher are hindered by the relatively few number of large-scale deals that can make an immediate impact.