Food Company Acquisition (SALES: $23 million; SALE PRICE: $10 million)
TreeHouse Foods acquires DeGraffenreid 8th May 2007 By Leah Vyse TreeHouse Foods has acquired pickle processor DeGraffenreid for $10 million, plus an adjustment for working capital, from Bell-Carter Foods.
Missouri-based DeGraffenreid processes and distributes pickles and related products to the foodservice industry. The company has annual sales of around $23 million.
The purchase includes all of the company's working capital and production equipment. Concurrent with the acquisition of assets, TreeHouse said that it has entered into a lease for the land and buildings.
"We are impressed with DeGraffenreid's regional strength in the Midwest and Southern states, and solid relationships with leading National Account chain restaurants. Adding DeGraffenreid to our existing Bay Valley Foods operating unit creates an opportunity for accelerated growth in the attractive foodservice channel," said Sam Reed, chairman and CEO of TreeHouse Foods.
TreeHouse Foods, which primarily services the retail grocery and foodservice channels, produces pickles and related products; non-dairy powdered coffee creamer; private label soup and infant feeding products, and other food products including aseptic sauces, refrigerated salad dressings, and liquid non-dairy creamer
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