Del Monte Foods Inc. (DMFI), majority owned by the bilyonaryo Campos family, announced the acquisition of broths and stocks maker Kitchen Basics from McCormick & Company for $99 million.
In a stock exchange filing, Del Monte Pacific Ltd. (DMPL) said its US subsidiary DMFI purchased assets of Kitchen Basics, comprising intellectual property and inventory, as part of its strategy to expand its presence in the broth and stocks category.
DMFI is one of the country’s largest producers and distributors of premium quality, branded food products in the US market.
The Kitchen Basics brand was founded in 1996 as the pioneer in liquid stock and remains an industry leader in the US today, with net sales of $45 million.
DMPL said said the acquisition is consistent with DMFI’s overall growth strategy, as it focuses on innovation, renovation and customization of its iconic brand portfolio.
“We’ve seen heightened interest in broth and stocks over the last few years as consumers double down on home meal preparation, health and wellness. Kitchen Basics is well-known for its culinary quality. We’re excited to bring Kitchen Basics into the Del Monte family of brands to help people create healthful meals they love,” said Bibie Wu, chief marketing officer of DMFI.