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Hershey said Michael Del Pozzo, president of its U.S. confectionery business, will leave the company on Dec. 12 and return to an unspecified leadership role at PepsiCo.
Hershey CEO Michele Buck will manage the candy division on an interim basis while the Pennsylvania company “searches for a successor from a strong pipeline of internal and external candidates.”
of Pozzo He joined Hershey in September, overseeing brands including Kisses, Reese’s and Jolly Rancher. At the time, Hershey said Del Pozzo “brings a wealth of experience in driving growth and change” during his 23 years with the food and beverage company. Hershey said at the time that Del Pozzo “brings a wealth of experience in driving growth and change” during his 23 years at PepsiCo.
As president and general manager of Gatorade, Del Pozzo has run a $10 billion business, transforming the sports drink company into a portfolio of sports and fitness brands. He also previously led the sales and commercial functions for PepsiCo’s Frito Lay North America division.
His resignation comes after Oreo maker Mondelēz International reportedly approached Hershey to gauge its interest in an acquisition. At least one analyst said: Del Pozzo’s decision to leave raises the possibility of a union between the two snack giants.
Hershey has faced a series of problems recently that make the company more vulnerable to trading. The company lowered its net sales growth forecast earlier this year after a series of price increases reduced demand for its sweet and salty products. Hershey’s business is also under pressure from high cocoa prices and the popular GLP-1 weight loss drug.
“We view the sudden departure of Michael Del Pozzo, president of U.S. Confectionery after less than three months at Hershey, as another sign of the company’s challenging fundamentals,” TD Cowen analyst Robert Moskow said in a note to investors. “We believe these conditions increase the likelihood that Hershey Trust will agree to sell the business to the next person. Mondelez.”
