PepsiCo has announced it has completed its acquisition of Garza Food Ventures LLC, trading as Siete Foods, in the United States, for $1.2 billion (€1.16 billion).
Founded in Austin, Texas, in 2014, Siete Foods is a producer of tortilla chips, taco seasonings, enchilada sauces, salsas and a variety of other Mexican-American products, available across some 40,000 US retailers.
'Positive Choices'
Commenting on the acquisition, Steven Williams, CEO of PepsiCo North America, said, "We're committed to transforming our portfolio to include more positive choices that meet consumer demand for convenient and delicious products.
"We love the Siete brand for the same reason so many loyal consumers do and are dedicated to preserving its special attributes while making the brand more widely available and accessible on a broader scale."
The company noted that the acquisition of Siete follows on from a series of recent PepsiCo acquisitions, including PopCorners, Bare, Stacy's Pita Chips, and most recently, Sabra.
It added that the Siete acquisition will enable it to 'further expand its portfolio of products with nutritious, simple foods and ingredients'.
'A Defining Moment'
"Today marks a defining moment in Siete's journey and an exciting chapter of growth and expansion for our brand," commented Miguel Garza, CEO and co-founder of Siete Foods. "When our family founded Siete 10 years ago, it was with a heartfelt mission: to share the beauty of our Mexican-American heritage and Latino culture with the world, creating foods that everyone can enjoy, love, and feel connected to.
"The overwhelming support and passion we've seen – from the love for our products to the celebration of this milestone for Latino entrepreneurship – have profoundly inspired us. As we join PepsiCo, my family and I are committed to honouring, amplifying, and continuing to build the Siete brand and welcoming even more people to join us at the table."
Centerview Partners LLC acted as lead financial advisor to PepsiCo for the deal, while Citi also served as financial advisor. Gibson Dunn & Crutcher LLP is acting as legal advisor to PepsiCo. Lazard acted as financial advisor to Siete and Weil, Gotshal & Manges LLP, as well as Armbrust & Brown, PLLC, acted as legal advisors to Siete.
