Kraft Heinz to buy Primal Kitchen
The Kraft Heinz Co. has entered into a definitive agreement to acquire Primal Nutrition, LLC, makers of Primal Kitchen branded products for approximately $200 million.
The Kraft Heinz Co. has entered into a definitive agreement to acquire Primal Nutrition, LLC, makers of Primal Kitchenbranded products for approximately $200 million.
Founded by Mark Sisson and Morgan Buehler, Primal Kitchen is a “better-for-you” brand primarily focused on condiments, sauces, and dressings including mayonnaise, salad dressings, and avocado oil, with growing product lines in healthy snacks and other categories. The brand holds leading positions in both e-commerce and natural channels and is expected to generate approximately $50 million in net sales this year.
Primal Kitchen will join Kraft Heinz under Springboard, which is Kraft Heinz’s platform created to partner with founders and brands that will disrupt the food industry. The combination of Primal Kitchen and Springboard will help to realize Sisson’s vision to change the way the world eats.
Primal Kitchen will leverage Kraft Heinz’s assets and infrastructure, while still operating as an autonomous company. Primal Kitchen will continue to be led by its current leadership team and its headquarters will remain in Oxnard, Calif.
“The proposed partnership with Primal Kitchen is consistent with Kraft Heinz’s vision to be the best food company, growing a better world. The Primal Kitchen team has built an amazing portfolio of the world’s best-tasting, health-enhancing, real-food pantry staples,” said Paulo Basilio, U.S. zone president for Kraft Heinz. “Primal Kitchen is an authentic, premium, and growing brand that fits perfectly with our core condiments and sauces categories, and we are excited to partner with the company’s strong existing team to drive growth across multiple categories going forward.”
The transaction is subject to customary closing conditions and is expected to be completed in early 2019.