Acquisitions are par for the course when you’re a snacking giant such as The Hershey Company. In the late summer of last year, it added ONE Brands under its belt for $397 million, a move that exponentially expanded its portfolio. But just as acquisitions are standard for growth, so are divestments. Hershey noted in a recent earnings call that it plans to divest the meat innovator Krave alongside artisan chocolate lines Scharffen Berger and Dagoba.
“There are great brands that continue to resonate with consumers, but they require a different go to market model that we believe is better supported by other owners,” remarked Hershey CEO Michele Buck to analysts in the company’s first-quarter earnings call. “These actions will enable us to prioritize our recently acquired scale assets, within salty snacks and nutrition bars.”
Hershey acquired Krave in 2015 for $220 million and has since struggled to help the jerky brand flourish in the CPG sector.
Deli Market News will be interested to note who takes interest in the company once it is up for auction.
Will the inventive jerky company get a new lease on life? We’ll be here to report to you the latest in all things deli, dairy, and bakery.