The Arnott’s Group has acquired Diver Foods as part of its growth strategy into the cereal and snacks market. In December, it acquired the cereal and snacks business from Freedom Foods for $20 million.
Arnott’s new division will be called the Good Food Partners.
Arnott’s Group CEO George Zoghbi said it was no secret the group wanted to expand locally. “The Arnott’s Group has become the custodian of a 150 plus year legacy of Australian food manufacturing and we have made no secret of our desire to build on that legacy by expanding our operations locally,” Zoghbi said.
Under the agreement, The Arnott’s Group will acquire 75 per cent of Diver Foods and is expected to be completed later this month. The Freedom Foods aquisition is set to be signed off in March.
Diver Foods owner and managing director Chris Diver will continue to own the remaining 25 per cent of the business. Diver said he saw huge potential by joining Arnott’s. “Over the last 18 years, we have successfully partnered with leading brands and retailers to become one of Australia’s largest cereal and snacking manufacturers,” he said.
Diver Foods is based in Melbourne, while Arnott's and Freedom Foods cereal and snacks production are in Sydney. A spokesperson told Food & Drink Business: “We are currently working closely with Chris on how best to integrate their operations into The Arnott’s Group family and look forward to sharing more detail about these exciting plans when they are finalised.”
Zoghbi said Good Food Partners will launch once both transactions are complete.
Arnott’s is #29 in Food & Drink Business’ Australia’s Top 100 Food & Drink Companies 2020 report. Freedom Foods is #46.
