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Diving overview:
- Ferrero is purchasing Bio-Nutritional Research’s Power Crunch for an undisclosed amount. The confectionery company said its protein snack brands, including wafer bars and high-protein crisps, “have been seeing strong growth recently”.
- As part of the transaction, Ferrero will acquire an office in Irvine, California, and approximately 50 employees will join the North American operations. The deal is expected to close in the “next few weeks.” Terms of the deal and purchase price were not disclosed.
- Power Crunch further expands Ferrero’s presence in the better category and expands its presence in the United States through multiple acquisitions since 2018.
Dive Insights:
For a long time in the United States, Ferrero was famous for its Nutella spread, golden-wrapped Ferrero Rocher, and mint-flavored Tic Tacs.
That changed in 2018 when the company spent $2.8 billion to acquire Nestlé’s U.S. chocolate business. With this deal, Butterfinger; Baby Ruth and 100 grand. The snack and snack maker acquired Kellogg’s cookie and fruit snack business a year later for $1.3 billion, giving Ferrero a foray into the cookie business with its Keebler and Famous Amos brands.
In 2022, Ferrero acquired ice cream maker Wells Enterprises, adding Blue Bunny and Halo Top to its portfolio.
The Power Crunch acquisition further expands the company’s U.S. footprint, but the nature of this deal differs from previous purchases, which focused on comfort snacks like cookies, candy and ice cream.
The Power Crunch brand, which has been around for nearly 30 years, provides Ferrero with a better product that is firmly rooted in protein, the trend category most in demand by consumers. Power Crunch’s bars and chips are portable, appealing to shoppers who want to snack on the go.
“Ferrero’s superior craftsmanship and thoughtful investments across our portfolio have driven our success across categories. We look forward to applying the same formula to better categories,” said Michael Lindsey, President and Chief Business Officer. ferrero North America said in a statement.
