Back to Nature Foods Co. LLC has acquired the SnackWell’s cookies and snacks business from Mondelez Global LLC. Terms and conditions of the transaction were not disclosed.
Back to Nature Foods is a portfolio company of Brynwood Partners VI L.P. Brynwood VI and Mondelez Global formed the Back to Nature joint venture in 2012 through an innovative structure, whereby Brynwood VI acquired operating control while Mondelez Global retained a minority position in the new company.
Since the acquisition, Brynwood VI has effected a smooth transition of the business, accelerated new product introductions and increased marketing focus.
SnackWell’s was originally launched by Nabisco Inc. in 1992 as a line of reduced-fat and fat-free cookies and crackers. SnackWell’s products include Creme Sandwich Cookies, Devil’s Food Cakes, Fudge Pretzels, Yogurt Pretzels, and Popcorn products in portion-control sizes.
“We look forward to owning the SnackWell’s brand and integrating it into our Back to Nature organization,” said Vincent Fantegrossi, president and CEO of Back to Nature. “Its healthy attributes, loyal consumer base and strong distribution make SnackWell’s a very complementary product line offering to our Back to Nature products. SnackWell’s is an iconic brand and we are excited about the potential that this acquisition brings to our company. SnackWell’s significantly increases our scale in the important cookie and cracker categories.”
In related news, Brynwood Partners signed an agreement at the end of 2013 to sell its investment in DeMet’s Candy Co. for $221 million to Yildiz Holdings A.S., owner of the Godiva chocolate brand. The transaction is expected to close this month.
Brynwood Partners has developed a unique niche of being the lower middle market firm of choice for corporate divestitures. In its 29-year history, Brynwood Partners has now acquired 39 corporate brands from 15 different corporate sellers, including the SnackWell’s acquisition. The SnackWell’s transaction marks Brynwood Partners’ second transaction with Mondelez Global in addition to two others with Kraft Foods Inc., the predecessor company of Mondelez Global LLC’s parent, Mondelez International Inc.
Brynwood Partners has a track record of reviving smaller brands or businesses that are divested from large corporations. Some of Brynwood Partners’ food investments, both current and prior, include Turtles chocolate candy and Flipz chocolate-covered pretzels, acquired from Nestle USA; TrueNorth nut-clusters and Kretschmer wheat germ, both acquired from PepsiCo; Lightlife meat alternative products, acquired from ConAgra Foods; and Balance Bar energy/nutrition bars, acquired from Kraft Foods.
