Global organic, non-GMO, and healthy foods company, SunOpta Inc. has expanded its presence in the healthy snack space with the acquisition of Niagara Natural Fruit Snack Co. in a deal worth US$6.7 million to be funded through cash on hand and existing credit facilities.

 

Based in the Niagara region of Ontario, Canada, Niagara Natural is an innovative producer of healthy non-GMO and organic fruit snacks. The acquisition of the company is expected to enhance SunOpta’s existing healthy foods platform, expand its manufacturing operations, and create a platform positioned to generate synergies and growth.

 

“Niagara Natural is a strong strategic fit within our core vertically integrated consumer products strategy, aligning well with our focus on healthy and convenient snacking,” said Rik Jacobs, President and Chief Operating Officer of SunOpta. “Not only are we adding a growing business that enhances our leadership position in this on-trend category, but we are adding a talented team with operational expertise and a customer base comprised of high-quality, blue chip retailers.”

 

Founded in 2009 by John Boot, Niagara Natural is expected to generate C$10 million in revenue in 2015, and through joining SunOpta, Niagara will be able to leverage that company’s global platform and combine the two company’s product development pipelines and innovations, resulting in greater customer reach and capabilities for both companies.

 

“We see product innovation opportunities in healthy and organic packaged fruit snacks, but also in fruit-based ingredients and new products focused on main stream snacking,” said Steve Bromley, Chief Executive Officer of SunOpta. “Our ongoing investment in new product development plays a key role in our growth strategy, and the fruit snack category is a great example of a category where we intend to provide innovative products for existing and new customers.”