Hain Celestial To Sell North American Snacks to Canadian Private Labeler
Hain Celestial Group continues to trim its portfolio, today (Feb. 2) announcing a deal to sell its North American Snacks business to Snackruptors Inc., a Canadian, family-owned snacks manufacturer, for $115 million in cash. Snack brands being sold include Garden Veggie Snacks, Terra chips and Garden of Eatin'.
“This transaction will allow Hain Celestial to move forward with a simplified portfolio in North America focused on core categories and markets with stronger margin and cash flow profiles to drive growth,” the company said.
Hain has been in a rebuild for seven years and ended its fiscal 2025 (June 30, 2025) with a $531 million loss after sales dropped 10% to $1.56 billion. Every reporting segment and every food category reported shrinkage.
The North America snacks portfolio represented 22% of the company's net sales in fiscal 2025 – and 38% of the North America segment net sales – with negligible earnings contribution over the past 12 months.
“The financial profile of the remaining portfolio in North America is meaningfully stronger, delivering EBITDA margins in the low double digits, underpinned by gross margins above 30%,” Hain reports. “Going forward, the company’s flagship categories across North America will include tea, yogurt, and baby/kids, along with its meal preparation platforms.”
Alison Lewis, president/CEO, explained, “As an output of the previously announced strategic review process of our company’s portfolio, the sale of our snacks business is a decisive first step we are taking to sharpen our focus on categories and platforms in key markets where we can leverage our strongest organizational capabilities.” After serving as interim CEO after the May 2025 departure of Wendy Davidson, Lewis was named CEO in December.
Proceeds from the transaction will be used to reduce debt, strengthening the company’s financial position and leverage profile.
Snackruptors, headquartered in Cambridge, Ontario, makes private label crackers. The transaction is expected to close by Feb. 28.
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Dave Fusaro
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Dave Fusaro has served as editor in chief of Food Processing magazine since 2003. Dave has 30 years experience in food & beverage industry journalism and has won several national ASBPE writing awards for his Food Processing stories. Dave has been interviewed on CNN, quoted in national newspapers and he authored a 200-page market research report on the milk industry. Formerly an award-winning newspaper reporter who specialized in business writing, he holds a BA in journalism from Marquette University. Prior to joining Food Processing, Dave was Editor-In-Chief of Dairy Foods and was Managing Editor of Prepared Foods.