In September 2020, we learned that Kraft Heinz would be selling its Natural, Grated, Cultured, and Specialty cheese businesses to a United States affiliate of Groupe Lactalis. As part of the deal, Lactalis Canada has now announced its acquisition of Kraft’s Grated cheese business.
“The integration of Kraft Heinz’s Grated cheese business enhances Lactalis Canada’s capacity and capability to provide Canadian consumers with quality household brands and perfectly complements our growing portfolio of broad-based dairy products with the addition of parmesan,” said Mark Taylor, President and Chief Executive Officer, Lactalis Canada. “As the third largest branded retail manufacturer in Canada, this transaction reinforces our long-term investment in Canada and its food processing sector and marks Lactalis Canada’s foray into this part of the category.”
The acquisition of the Kraft Heinz Grated cheese business in Canada marks Lactalis Canada’s entry into the ambient category, which is a first for the dairy supplier. As part of this transaction, Lactalis Canada acquires production capability, which will remain at Kraft Heinz’s plant in Montreal, Quebec.
According to a press release, the deal builds on Lactalis Canada’s growth strategy that includes the 2019 acquisition of Kraft Heinz Canada’s Natural cheese business, which included the Cracker Barrel, P’tit Québec, and aMOOza! Brands. It also complements the March 2021 acquisition of Agropur’s Ultima Foods, comprised of the IÖGO, IÖGO nanö, and Olympic brands.
As these two category leaders join forces to elevate their brands, Deli Market News will be sure to keep you informed of the latest.