Campbell Soup Co. (NYSE: CPB) on Thursday announced that it agreed to acquire Pacific Foods of Oregon for $700 million in cash, a move to boost the company’s healthy organic food business.
Founded in 1987, Pacific Foods is a leading producer of organic broth and soup. The company also produces shelf-stable plant-based beverages and other meals and sides.
Pacific Foods CEO and co-founder Chuck Egger said, "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."
Campbell has been reshaping its food portfolio and trying to change consumer tastes in the recent years. The company bought carrots, juices and salad dressings producers for $1.55 billion in 2012. It also bought fresh salad maker Garden Fresh Gourmet in 2015.
“The acquisition allows us to expand into faster-growing spaces such as organic and functional food,’’ Denise Morrison, Campbell’s president and CEO said in a statement. “It advances our strategic imperatives around real food, transparency, sustainability and health and well-being.’’