KKR and Campbell Soup Company (NYSE:CPB) signed a stock and asset purchase agreement under which KKR will acquire certain international operations from Campbell International, for an enterprise value of approximately US$2.2 billion.
The transaction is expected to close within the next six months, subject to customary closing conditions.
Campbell International is a business that includes snacking and meal brands in the Asia Pacific region with manufacturing capabilities and distribution channels in attractive core markets.
The majority of Campbell International’s sales are generated by Arnott’s, the iconic Australian biscuit brand with over 150 years of heritage.
Its portfolio also comprises the regional portfolio of Campbell brands spanning soup, stock, juice and ready meals in markets including Australia, New Zealand, Indonesia, Malaysia, Singapore, Hong Kong and Japan.
KKR will also acquire Campbell International’s manufacturing operations in Australia, Indonesia and Malaysia. Under the terms of the agreement, KKR and Campbell will enter into a long-term licensing arrangement for the exclusive rights to use certain Campbell brands, including Campbell’s, Swanson, V8, Prego, Chunky and Campbell’sReal Stock, in Australia, New Zealand, Malaysia and other select markets in Asia Pacific, Europe, the Middle East and Africa.
Arnott’s and Campbell International operations (excluding the Kelsen Group) had combined net sales of approximately $885 million in the latest 12 months and employ approximately 3,800 people.