Welcome to the Latest News:
- Castillo Hermanos, a prominent business conglomerate from Guatemala, has recently announced its acquisition of Harvest Hill Beverage Company, the maker of popular drinks such as SunnyD, Juicy Juice, and Little Hug. The purchase was made from private equity firm Brynwood Partners, although the exact amount of the transaction remains undisclosed.
- According to Reuters, the deal is estimated to be valued at approximately $1.5 billion. Roberto Lara, the CEO of Castillo Hermanos, expressed excitement about the expansion opportunities this acquisition presents, as their current portfolio spans across 75 brands in 35 countries, covering a wide range of industries from beer to food packaging to real estate.
- SunnyD, originally known as Sunny Delight, has been a household name since its launch in 1963. The brand gained popularity in the 1990s as a budget-friendly alternative to other juice brands. Recent data from Circana shows a 7% growth in SunnyD sales, indicating its continued success in the market.
- In addition to its iconic juice brand, Harvest Hill Beverage Company has ventured into the alcohol sector with the introduction of an RTD vodka cocktail in 2023. This strategic move, coupled with the acquisition of other juice brands, highlights the profitability of the packaged juice industry.
- Harvest Hill, established in 2014 by Brynwood Partners after acquiring Juicy Juice from Nestlé, has since consolidated various juice brands under its umbrella. The company’s president and CEO, Robert Mortati, believes that the acquisition by Castillo Hermanos will amplify their presence in the beverage market.
- With a focus on expanding into the U.S. market, Castillo Hermanos sees the acquisition as a significant step towards diversifying its product offerings and global reach. The company’s plans include leveraging Harvest Hill’s manufacturing facilities and distribution network to introduce its brands to American consumers.
- Notably, all 1,000 employees of Harvest Hill are expected to retain their positions post-acquisition. Roberto Lara emphasized the collaboration with Harvest Hill’s leadership team to capitalize on growth opportunities and enhance their presence in the competitive beverage industry.