Campbell Soup Company plans to acquire a maker of organic soups, meals, and plant-based beverages Pacific Foods in a $700 million cash transaction, reflecting changing consumer preferences toward healthy and organic food products, the Camden, NJ-based company announced Thursday.
“The acquisition allows us to expand into faster-growing spaces such as organic and functional food. Moreover, Pacific Foods is an excellent fit with Campbell – strategically, culturally, and philosophically. It advances our strategic imperatives around real food, transparency, sustainability, and health and well-being,” said Denise Morrison, president and chief executive officer of Campbell, in a company press release.
Under Campbell’s leadership, the company intends to expand distribution of Pacific products, provide marketing support, and invest in R&D and supply chain resources to improve operations and customer service.
Pacific Foods will be absorbed into Campbell’s Simple Meals and Beverages division, serving customers throughout North America under the direction of the unit’s president Mark Alexander.
“We’ve spent the past 30 years focused on making nourishing foods with an emphasis on simple, organic ingredients and authentic rich flavors. Looking ahead, a future with Campbell means we can maintain what we value while accelerating growth of the brand in a way that we couldn’t do alone, reaching more people while increasing our impact on sustainable agriculture,” said a statement by Pacific Foods chief executive officer and co-founder Chick Eggert, who will remain on as a supplier of ingredients from his family farms.
Pacific Foods was founded in 1987 in Tualatin, OR.