PepsiCo to Spend USD1.2bn on Kettle Cooked Potato Chips Manufacturer Siete Foods
PepsiCo, Inc. recently announced that it has entered into a definitive agreement to acquire Garza Food Ventures LLC, dba Siete Foods (“Siete”) for USD1.2bn.
“The acquisition will complement PepsiCo’s portfolio with the addition of an authentic, Mexican-American brand, while also growing its better-for-you food offerings. Siete products will bring a rich, new aspect to the PepsiCo multicultural portfolio with delicious food that plays an important role in meal occasions and culinary experiences,” according to a PepsiCo press release.
Siete’s products can be found in grocery stores, club stores, and organic food retailers primarily across the U.S.
“I’m excited to share that PepsiCo has entered into an agreement to acquire Siete Foods. This deal will complement PepsiCo’s portfolio with the addition of an authentic, Mexican-American brand, while also growing its better-for-you food offerings. […] The Garza family has built a very special brand. Their passion for making and sharing food shines through in every Siete product, and that’s a passion we share at PepsiCo. PepsiCo believes in the spirit and authenticity of the Siete brand, and we’re excited to carry on the legacy created by the Garza family. We look forward to expanding our multicultural portfolio with these incredible products and even more consumers discovering and enjoying Siete. The deal is subject to customary closing conditions, including regulatory approval, and we expect to close in the first half of 2025,” Ramon Laguarta, Chairman and CEO of PepsiCo, said.
“Siete was created ten years ago to make heritage-inspired, Mexican-American food more widely available. Now we’re excited to embrace a new era with PepsiCo and bring our inclusive, better-for-you products to more people. We hope this next chapter for Siete serves as inspiration for other Latino businesses, showing that it’s possible to build a thriving brand that honors our heritage and celebrates our culture,” Miguel Garza, CEO and Co-Founder of Siete Foods, added.
Centerview Partners LLC acted as lead financial advisor to PepsiCo. Citi also served as a financial advisor. Gibson Dunn & Crutcher LLP is acting as legal advisor to PepsiCo. Lazard is acting as financial advisor to Siete and Weil, Gotshal & Manges LLP, as well as Armbrust & Brown, PLLC are acting as legal advisors to Siete.
Additional terms of the acquisition were not disclosed.
