U.S. natural and organic food group The Hain Celestial Group Inc. (HAIN: 20.17-0.05 -0.25%) is set to expand its portfolio by acquiring the assets and businesses of 3 Greek Gods LLC, including its Greek Gods yogurts brand. The financial details have not been revealed yet by the company.Hain is foraying into the yogurt world with Greek Gods yogurts, which the company claims to be creamier, richer in protein and more pro-biotic than other yogurts. The deal is expected to benefit the earnings of the company immediately.
3 Greek Gods LLC was founded in Seattle in 2003. The company’s Greek-style and specialty yogurt sales reported a growth of over 100% in the last year while the overall yogurt category delivered mid-single digit compounded annual growth rate. After the takeover, the three founders of the company will join Hain Celestial as the general managers of the division.
U.S. still remains an under-penetrated market for yogurt. However, the gradually soaring demand for yogurt and continuous efforts to capitalize on growth potential will lead to an increase in the U.S. consumption rate of yogurt, at par with the European levels. Health and wellness, convenience and good taste are the other fundamental consumer expectations that are keys to the market’s growth.
Hain Celestial produces, distributes, markets, and sells various natural and organic foods as well as personal care products in the U.S., Canada and Europe. Despite the economic headwinds, management indicated that its U.S. operations remain strong.
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