Castillo Hermanos will acquire beverage producer behind SunnyD, Juicy Juice and Little Hug, among others
Castillo Hermanos will acquire Harvest Hill Beverage Co. from Brynwood Partners, in a move that will significantly increase the multinational diversified business group’s U.S. presence and provide a platform to grow its existing U.S. business unit. Castillo Hermanos is partnering with private investment firm Centerview Capital, which has provided a significant investment and will be a strategic partner to help grow the U.S. beverage business.
Harvest Hill is a leading beverage products player in the United States, with brands such as SunnyD, Juicy Juice, Little Hug, Fruit2O water, Veryfine juice, Big Burst sports drink, Guzzler fruit drinks, Daily’s Cocktails and Nutrament energy drink brand. Harvest Hill currently operates six manufacturing facilities strategically located across the United States.
Castillo Hermanos was founded nearly 140 years ago and operates in more than 35 companies. Its brands include Gallo Beer, marketed as Famosa Beer in the United States, as well as Del Frutal and Raptor energy drink. According to the company, it is the leading cereal producer in Central America.
All of Harvest Hill’s 1,000 employees, including the management and leadership team, are expected to retain their jobs as part of the transaction. Castillo Hermanos expects to access Harvest Hill’s distribution channel penetration to expand and introduce beverage brands from its Maravilla business unit to the United States.
What they are saying
“This is a key moment in our history as we set out to meaningfully expand our reach into the U.S. Our trusted and iconic brands, combined with Harvest Hill’s, offer a compelling product assortment to cater to diverse consumer needs,” said Roberto Lara, CEO of Castillo Hermanos, in a release. “We look forward to working closely with Harvest Hill’s experienced leadership team to unlock key growth opportunities, leveraging their manufacturing facilities, distribution network, and understanding of the beverage category in the U.S.”
“We could not be more excited to build our future with Castillo Hermanos,” said Robert Mortati, President and CEO of Harvest Hill, in a release. “Founded on similar values and principles based on respect, quality, innovation, and customer and consumer centricity, Castillo Hermanos’ and Harvest Hill’s strategic visions are aligned. Together, we will be able to scale our businesses, enhancing the presence of our brands across the beverage marketplace.”