Hain Celestial is expanding its fruit and beverage products in the United Kingdom with its acquisition of Orchard House Foods Limited. Terms of the transaction were not disclosed.
Until formal clearance is received from the Competition Market Authority, both companies will continue to operate independently as Hain looks to explore growth opportunities in the prepared fruit, drinks, and dessert sectors. Orchard House supplies retailers, on-the-go food outlets, food service providers, and manufacturers in the United Kingdom with facilities in Corby and Gateshead, according to a press release.
“This is a truly exciting acquisition, increasing our product offerings to meet consumers’ desire for a healthier lifestyle and the ‘5 A DAY’ Live Well Healthy Living for Everyone’ initiative in the United Kingdom,” said Hain Daniels CEO Jeremy Hudson. “Orchard House brings new capacity and opportunities for accelerated growth across a number of categories, including the development of our existing branded ranges and new brands presently being prepared for launch.”
James Skidmore, Orchard House’s Managing Director, will report to Hudson. Both Skidmore and Hudson will work together with their respective leadership teams to expand Hain’s business in the United Kingdom and into continental Europe.
“Along with the acquisition comes innovative new processing technology to expand the shelf life of fresh fruits and juices,” said Hain Celestial President and CEO Irwin D. Simon. “We also believe there may be opportunities to leverage Orchard House’s expertise into new branded product offerings in fruit, juice, and bars under the Ella’s Kitchen®, Hartley’s®, Johnson’s Juice Co.®, and Sun-Ripe® brands.”
In fiscal year 2016, the company expects between approximately $60 and $65 million in net sales and modest accretion to Hain Celestial’s earnings from Orchard Foods.
