May 23 Campbell Soup Co said on Thursday
it had agreed to buy organic baby food maker Plum Organics, as
the company behind Goldfish crackers and Campbell's Soup seeks
to expand its offerings to the youngest consumers.
The acquisition, whose terms were not disclosed, marks the
third deal this month by a large packaged food maker for a small
baby-food company after Hain Celestial Group agreed to
buy Ella's Kitchen and Danone agreed to buy Happy
Plum sells squeeze pouches of organic baby food in unique
combinations like raspberry, spinach and Greek yogurt. Chief
Executive Officer Denise Morrison told Reuters that the company
fits in with its other products targeting kids, including
Pepperidge Farm Goldfish crackers.
Campbell is working to improve its sales of soups while also
expanding into higher-growth areas. It recently bought Bolthouse
Farms, which produces baby carrots and refrigerated juices.
Plum has annual sales of about $93 million.
Campbell expects the deal to close in the fourth quarter and
not impact its full-year targets.
Plum was advised by Houlihan Lokey and Jones Day and
Campbell was advised by Davis Polk & Wardwell.