US packaged foods company ConAgra Foods has entered into an agreement to acquire the Bertolli and PF Chang’s Home Menu frozen meals businesses from Unilever for a total cash consideration of $265m.
The agreement includes a license to use Bertolli and PF Chang's Home Menu brand name.
The deal is in line with ConAgra Foods' growth strategy to grow its core businesses, expand into adjacent categories, build its private label business, and continue to develop its international presence.
Bertolli and PF Chang's Home Menu have a leading position in the frozen multi-serve meals segment, with annual sales of nearly $200m.
ConAgra Foods noted that the acquired business will complement its existing frozen food brands such as Marie Callender's, Banquet, Healthy Choice and Kid Cuisine, and also add Italian and Asian foods to the company's portfolio.
ConAgra Foods chief executive officer Gary Rodkin said the company will use its extensive frozen food and innovation capabilities to expand these brands even further.
"Just as our acquisition earlier this calendar year of Odom's Tennessee Pride extended our reach into frozen breakfasts, the addition of Bertolli and P.F. Chang's brands can bring us new consumers and new eating occasions," Rodkin added.
The acquisition is expected to close within the next 30-60 days, subject to customary closing conditions.
This will be the fifth acquisition in the last 12 months for ConAgra Foods, following the acquisitions of National Pretzel Company, Del Monte Canada, Odom's Tennessee Pride and the pita chip business of Kangaroo Brands.
