Campbell announces earnings, sale of Garden Fresh Gourmet

Days after Campbell Soup Co. announced the sale of its refrigerated soup plant in Everett, Washington, to an affiliate of the Joshua Green Corp, the company reported better-than-expected adjusted earnings that was given a boost by its $4.87-billion Snyder’s-Lance and $700-million Pacific Foods acquisitions in 2017. The company announced net sales were up 24 percent to $2.71 billion, while organic sales were flat.

Campbell also announced it had signed a definitive agreement for the sale of Garden Fresh Gourmet to an affiliate of Fountain of Health USA, a maker of hummus, dips, variety packs, prepared salads, pâtés, and frozen desserts. Terms of the transaction were not disclosed. The transaction is subject to customary closing conditions and is expected to close in Campbell’s fiscal 2019 third quarter.

Founded in 1998 and acquired by Campbell in 2015, Garden Fresh Gourmet

makes, sells and distributes salsa, hummus, dips and tortilla chips both under the Garden Fresh Gourmet brand and private label products. Garden Fresh Gourmet is located in Ferndale, Michigan, and also has operations in Grand Rapids, Michigan. On Tuesday, the company announced that it expects to name buyers for Bolthouse and its international business by the end of its fiscal year in July.

Reuters reported that Kraft Heinz Co and Mondelez International Inc. were bidding for Campbell’s international business, which includes Australian cookie brand Arnott’s and Danish baked snacks maker Kelsen Group.