Utz Brands to acquire tortilla co-packer Festida Foods for $41 million
Source Utz Brands Inc.
Hanover, PA-based salty snack giant Utz Brands Inc. announced that its subsidiaries have entered into a definitive agreement with Great Lakes Festida Holdings Inc. to acquire all assets, including real estate, of Festida Foods for $41 million.
Festida Foods, located in Grand Rapids, MI, produces tortilla chips, corn chips and pellet snacks, and is the largest manufacturer of tortilla chips for Utz’s On The Boarder (OTB) brand. Privately owned, Festida is a dedicated co-packing and private-label operation; it does not own any brands.
“We expect that this strategic acquisition will enable strong supply chain synergies for our On The Boarder brand and enhance our ability to expand both On The Boarder and other Utz Power Brands geographically in the Midwest,” said Utz chief executive Dylan Lissette.
“Over time, we intend to expand production capabilities in the manufacturing plant to support growth in adjacent sub-categories and better serve current and future retail customers in an important area of geographic growth for the company,” he added.
