TreeHouse acquires Canadian dry grocery manufacturer
OAK BROOK, ILL. – TreeHouse Foods, Inc. has acquired Associated Brands GP Corp., Mississauga, Ont., for C$187 million ($180 million) in cash from the private equity firm TorQuest Partners. Associated Brands is a manufacturer of private label dry packaged drink mixes, specialty tea, hot chocolate, dessert mixes, soups, side dishes, sweeteners and oatmeal.
Associated Brands has three manufacturing facilities in Delta, B.C.; Medina, N.Y.; and Toronto. The company employs 650 and has annual sales of approximately $200 million.
“Associated Brands has a strong North American presence in a number of dry mix categories that are complementary to TreeHouse, such as powdered drinks, oatmeal and side dishes,” said Sam K. Reed, chairman, president and chief executive officer of TreeHouse Foods. “Through Associated Brands, we will also enter the large and growing specialty tea category. Not only is tea recognized for its nutritional and health benefits, but it will also be a wonderful complement to our rapidly growing single-serve coffee platform. We see significant opportunities to expand Associated Brands’ sales, while leveraging their strong customer relationships in both retail and industrial channels.”