Utz Quality Foods Acquires Inventure Foods and Expands Snacks Portfolio with TGI Fridays, Nathan’s Famous

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Hannover-based Utz is said to be the largest maker of private label, family-owned salty snacks in the United States, with brands including Dirty, Good Health, Bachman, Zapp’s and Snikiddy.

The company manufactures over a million pounds of potato chips a week, which it distributes throughout the East Coast.

Arizona-based Inventure Foods’ portfolio fits well with Utz’s offerings, selling both better-for-you snacks and gourmet snacks for brands such as TGI Fridays, Nathan’s Famous, Tato Skins and Bob’s Texas Style.

“[Inventure’s] The specialty snack products and brands, along with its geographic footprint, customer relationships and distribution strengths, are highly complementary to our business and we look forward to continuing Inventure’s strong heritage of innovation in snacks. healthy and tasty,said Dylan Lissette, CEO of Utz Quality Foods.

Acceptance of debt and others

Under the agreement, the $165 million purchase price of Inventure Foods will see Utz assume approximately $75 million in debt, net of cash; approximately $8 million of Inventure’s estimated closing costs and approximately $3 million due to equity award holders.

“This transaction is the result of diligent analysis and thoughtful strategic deliberations by our Board of Directors and the outcome of the strategic and financial review we initiated in July 2016,”said Terry McDaniel, CEO of Inventure Foods.

“Our Board of Directors, with the guidance of independent advisors, has determined that this transaction will provide immediate and certain cash value for our shareholders and new opportunities for our snack brands.”

Earlier this year, Inventure sold its frozen vegetable business to The Pictsweet Co. for $23.7 million and its frozen food business to Oregon Potato Co. for $50 million.

The Utz-Inventure transaction is expected to close by the end of the fourth quarter of 2017.

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