Hain Celestial Completes Strategic Sale of U.K. Based Fruit Business, Orchard House®
The Hain Celestial Group, Inc. (Nasdaq: HAIN) has successfully completed the divestiture of its U.K. fruit business, Orchard House Foods Limited, to private equity firm Elaghmore. The transaction aligns with Hain's strategy to simplify its brand portfolio and improve growth rates, as the fruit business was negatively impacted by the Covid-19 pandemic. CEO Mark L. Schiller expressed confidence that this sale will allow for reinvestment into the remaining operations, enhancing overall margins and cash flow for sustainable growth.
- Divestiture of non-core asset expected to improve growth rates and margins.
- Strategic alignment with brand simplification efforts.
- Reinvestment opportunities in stronger operational segments.
- U.K. fruit business was negatively impacted by the Covid-19 pandemic.
LAKE SUCCESS, N.Y., Jan. 13, 2021 /PRNewswire/ -- The Hain Celestial Group, Inc. (Nasdaq: HAIN), a leading organic and natural products company with operations in North America, Europe, Asia and the Middle East providing consumers with A Healthier Way of Life™, today announced that it has completed the divestiture of its U.K. fruit business, including the Orchard House Foods Limited business and associated brands, to Elaghmore, a U.K. based private equity firm. Details of the transaction were not disclosed.
Mark L. Schiller, Hain Celestial's President and Chief Executive Officer, commented, "We are pleased to complete the strategic sale of our fruit business to Elaghmore, a private equity firm focused on buying and growing U.K. businesses. The divestment of this complex, non-core asset fully aligns with our brand simplification and strategic transformation processes. By divesting this business, which was negatively impacted by the Covid-19 pandemic, the remaining Hain Celestial business will show immediate improvement in its growth rate and margins, allowing us to reinvest capital behind the strength of the remaining International platform. We remain confident in our ability to continue to improve our overall margin and cash flow profiles to fuel sustainable long-term growth and profitability."
Spayne Lindsay & Co. acted as financial advisor and DLA Piper UK LLP acted as legal counsel to Hain Celestial.
About The Hain Celestial Group, Inc.
The Hain Celestial Group (Nasdaq: HAIN), headquartered in Lake Success, NY, is a leading organic and natural products company with operations in North America, Europe, Asia and the Middle East. Hain Celestial participates in many natural categories with well-known brands that include Celestial Seasonings®, Clarks™, Cully & Sully®, Dream®, Earth's Best®, Ella's Kitchen®, Farmhouse Fare™, Frank Cooper's®, GG UniqueFiber®, Gale's®, Garden of Eatin'®, Hain Pure Foods®, Hartley's®, Health Valley®, Imagine®, Joya®, Lima®, Linda McCartney's™ (under license), MaraNatha®, Natumi®, New Covent Garden Soup Co.®, Robertson's®, Sensible Portions®, Spectrum®, Sun-Pat®, , Terra®, The Greek Gods®, William's™, Yorkshire Provender® and Yves Veggie Cuisine®. The Company's personal care products are marketed under the Alba Botanica®, Avalon Organics®, Earth's Best®, JASON®, Live Clean®, One Step® and Queen Helene® brands.
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SOURCE The Hain Celestial Group, Inc.
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