Natural and organic food company the Hain Celestial Group this week announced it has bought Imagine Foods, a private non-dairy beverage company specializing in rice and soy milks and organic products. Terms of the transaction were not disclosed.
The transaction is expected to boost Hain's earnings per share in the current year by 2 - 3 cents, and up to 11 cents in the 2004 fiscal year.
Imagine has a strong presence in the North America and European natural and grocery markets and last year had sales of $70 million. Brands include Rice Dream and Soy Dream non-dairy drinks and frozen desserts, Imagine Natural Organic Soups and Broths, and Power Dream soy energy drink.
Hain claims that since 1999, Imagine has increased sales by over 15 per cent CAGR, outpacing the natural foods industry, and last year, its soups, refrigerated beverages and frozen desserts and novelties all grew by over 20 per cent.
Irwin D. Simon, Hain chairman and CEO, said the acquisition would enhance Hain's offering in non-dairy beverages in both the aseptic aisle and the refrigerated section, and also aseptic and ready-to-eat soups and broths. The non-dairy frozen desserts brand are also thought to be a fast-growing category of the natural and organic sector.
Simon said: "We will create additional opportunities for our brands by combining Imagine's existing network and successes with our Lima business in Europe and our Yves business in Canada. We will also work to leverage the growing scale of our refrigerated businesses in the US, benefiting from the combined resources and knowledge of our Yves Veggie Cuisine, Westsoy refrigerated, and Imagine non-dairy beverages and frozen desserts businesses."
Robert Nissenbaum, Imagine Foods CEO and founder, said the timing was right for the company to join one of the fastest growing natural and organic food companies and it would offer opportunities to develop more new products. Nissenbaum will join Hain Celestial.