Conagra Brands has completed the sale of its Direct Store Delivery (DSD) snacks business to Utz Quality Foods.
The sale included the Tim’s Cascade Snacks, Hawaiian Snacks, Erin’s, Snyder of Berlin and Husman’s brands.
Despite this divestment, for an undisclosed amount, Conagra said that snacking will continue to be a “critical part” of its overall growth strategy.
Following the deal, the company – one the of the largest branded food companies in the US – has a $2 billion snaking portfolio encompassing market stalwarts and emerging brands.
Conagra acquired the DSD snacks business back in October 2018 as part of its $10.9 billion acquisition of Pinnacle Foods.
Speaking when the sale was announced last month, Sean Connolly, President and CEO of Conagra Brands, said: “We continue to reshape our portfolio and focus our resources on priorities that support Conagra’s business strategy and create value for shareholders.
“While Conagra has a large and growing snacks business, we do not currently operate with a DSD model. We believe this business will have more opportunity for growth under Utz, an established DSD operator.”