As consumer preferences continue the shift toward organic food, Campbell Soup Co. announced its $700 million acquisition of Pacific Foods today. The cash deal will help Campbell Soup expand into the organic and functional food spaces, according to company president and CEO Denise Morrison.
“Pacific Foods is an excellent fit with Campbell — strategically, culturally and philosophically,” said Morrison in a company press release. “It advances our strategic imperatives around real food, transparency, sustainability and health and well-being. Culturally, Campbell and Pacific Foods share similar values and a commitment to a purpose-driven approach. Philosophically, both companies believe in making food that we are proud to serve at our own tables using simple, recognizable ingredients.”
Pacific Foods produces organic broth and soup, as well as shelf-stable plant-based beverages and other meals. The Oregon-based company, which employees 540 people, will become part of Campbell’s Americas Simple Meals and Beverages division. Pacific Foods CEO and co-founder Chuck Eggert will remain a supplier of key ingredients through his family farms, which will help the company continue its farm-to-table philosophy. “We’ve spent the past 30 years focused on making nourishing foods with an emphasis on simple, organic ingredients and authentic, rich flavors,” said Eggert. “Looking ahead, a future with Campbell means we can maintain what we value while accelerating growth of the brand in a way that we couldn’t do alone, reaching more people while increasing our impact on sustainable agriculture.”